Not Eligible for Redundancy Package

Lsquall3031 on 20/06/2019 - 17:59

Hi guys,

My uncle has a dilemma. He worked as permanent full time for a retail warehousing company for 20 years and the company collapsed last year.
He was told he's not eligible for redundancy package because he's not a permanent resident or Australian citizen.
He is a temporary resident seeking a permanent residency and legally allowed to work. The union is taking his case but they are really slow and so far heard nothing back from them. He was wondering if anyone has been in the same situation as he thinks the ineligibility for redundancy package because he's a temporary resident sounds bull.

Have you heard anyone else experienced similar case like my uncle?

Education & Work

Comments

  • spiff on 20/06/2019 - 18:04

    Aren't redundancy packages at the discretion of the employer, not an entitlement? The only entitlement would be the notice period stipulated in the contract.

    • No Username on 20/06/2019 - 18:24
      +1

      If the employer is unable to pay it. FEG steps in and pays the redundancy package if eligible.

    • squall3031 on 20/06/2019 - 18:25

      That, I don't know. All his colleagues had received redundancy package and he's the only one who received nothing.

      • Icecold5000 on 22/06/2019 - 00:18

        I’d be more worried about getting citizenship than anything else because it comes with a pension. What was he doing for 20 years that caused him to neglect securing PR?

    • AnneThrope on 20/06/2019 - 18:37
      +2

      That's my experience.

      Worked for large employer for a decade, they restructured and handed out redundancy indiscriminately to hundreds - golden handshakes and high fives all around.
      6 months later my role was unexpectedly abolished and it was a hearty 'nope' to a package.
      Burned through my leave (while working elsewhere)and and was advised that redundancy was "one of a number of options available to manage surplus employees".

      Not that I'm still bitter about it.

    • conan2000 on 20/06/2019 - 19:10
      +2

      There are certain minimum requirements for redundancy pay based on length of service, https://www.fairwork.gov.au/ending-employment/redundancy/red… there are exemptions to this however. Some employers will pay more. Fairwork doesn't seem to care about visa status of employees, so I'd have thought he'd be eligible. This sort of stuff is pretty complicated though, so you really need to engage an expert in the area.

      • squall3031 on 20/06/2019 - 19:22

        That's right. Fairwork doesn's state anything about visa status. But as soon as you're directed to FEG, the FEG says no because of the visa status.

    • squall3031 on 20/06/2019 - 18:23

      Hi Baysew,
      If my uncle doesn't have a case then it looks like he can apply for FEG instead.

      • squall3031 on 20/06/2019 - 18:45

        Never mind about FEG. I just asked. Apparently the union applied FEG on his behalf and it was rejected because of his visa category does not meet the requirement. They challenged twice and the FEG claim was still rejected.

        I guess he's pretty much not going to get the money then. I doubt fair works can do anything.

  • crashloaded on 20/06/2019 - 18:31
    +13

    Am I missing something? How do you live and work in australia for 20 years without a permanent residency visa?

    • squall3031 on 20/06/2019 - 18:41

      He's a temporary resident applying for permanent residency. Some people do still end up waiting after long years after a series of appeals in court.

      • crashloaded on 20/06/2019 - 18:57

        So the temp visa was extended every 4 years?

        • squall3031 on 20/06/2019 - 19:04

          As long as the case is still in the 'appeal' basket, he can remain in Australia.

          • crashloaded on 20/06/2019 - 19:06

            @squall3031: I see, in that case sounds like it might be a struggle to achieve an outcome on the redundancy issue.

      • 0FoxGiven on 20/06/2019 - 21:25

        Whaa? Geez that seriously sucks.

    • Changskies on 20/06/2019 - 20:28

      Me also, 20 years. Since I was a little kid tbh, but I choose to live here because I love Straya. Well, another sad news is that while you're on appeals you cant leave aussie borders since you'll 'forfeit' your case.

      • squall3031 on 20/06/2019 - 23:06

        Yup. I doubt our current Immigration minister would intervene and reverse court ruling either if the case goes to him after all appeals are exhausted.

      • crashloaded on 21/06/2019 - 11:28

        So you have been on appeal for 16 years?

        • Changskies on 21/06/2019 - 21:30

          4 years to be exact, after Immgration's blunder.

      • gyrex on 21/06/2019 - 11:53

        That's not true, you can legally depart Australia on a special bridging visa whilst your visa is being determined.

        • Changskies on 21/06/2019 - 21:30

          Nope, depending on bridging visa, you cant depart and sadly, I am in that category. Those whom are in the process of appeals court / intervention - no zoom zoom

  • pistachio1 on 20/06/2019 - 19:02
    +6

    I feel bad for your uncle. Living somewhere for 20 years is hardly "temporary".

    • squall3031 on 20/06/2019 - 19:06

      Exactly, no medicare and centrelink and pay a lot of taxes on top of that.

  • Hardlyworkin on 20/06/2019 - 19:07
    +5

    He doesn't qualify for FEG. FEG is a massive burden on the taxpayer so the government tries to limit it by making it only eligible for citizens and some permanent residents. Is it fair; no. Is it the law; yes. Sucks for your uncle.

  • squall3031 on 20/06/2019 - 23:09

    Yeah, I have finally convinced my uncle that there's no way he'll get the FEG.
    I did ask about all his colleagues and yeah, apparently they got the money because the union applied FEG for all of them and my uncle included.
    He's the only one who couldn't get it.

    Well, I guess case closed then. I don't think any lawyer could help.

    • Hardlyworkin on 21/06/2019 - 07:16

      Btw you don't need a union to apply for FEG. You just fill in a form.

  • jjjaar on 21/06/2019 - 07:57

    Go to the media. Pretend he’s a nanny. Seems to be the only way things happen around here.

  • Rudolf101 on 21/06/2019 - 11:06

    Your uncle is not eligible for FEG if he is not a permanent resident. I knew someone who was working for a cleaning company that went bust a few years ago. Most of the cleaners were international students. They missed out on the FEG payments because they were not permanent residents. It was in the news. It sucks.

    https://www.meldmagazine.com.au/2013/06/cleaning-service-col…

  • HeWhoKnows on 21/06/2019 - 17:24
    -5

    Sounds very confusing

    "He worked as permanent FULL TIME for a retail warehousing company for 20 years:"

    "He is a TEMPORARY resident seeking a permanent residency "

    Im sorry but he can have worked FULL TIME for 20 years and only be a TEMPORATY RESIDENT

    Its either one or the other

    Dear OP please get your facts right.
    And if the union is on the case then let them get on with it.
    They know the rules better than anyone here on OB,

    This POST is hence just a complete time waste of time.

    • Changskies on 21/06/2019 - 21:33
      +2

      As a preface, I didn't neg you. Temporary residents can apply for working rights, as they are deemed contributory to the taxation system (financial needs). Australian resident for taxation purposes (working visa, old 457, graduate visa, temp residents with working rights) is totally different from immgration's permanent resident status.

Login or Join to leave a comment
Login Join