A shocking story of missing millions and the impact on disability workers has emerged, leaving many with a bitter taste in their mouths.
The collapse of United Employment, a labour-hire company, has left a trail of financial devastation for its employees. With a workforce of around 480, the company's sudden demise has resulted in a $6 million debt to its workers, including unpaid wages, superannuation, and other entitlements.
For Nathan Secomb, a senior disability support worker, the signs of trouble were evident long before the official announcement. Having witnessed a similar takeover in the past, he knew the missing superannuation payments were a red flag.
"From November until we went bankrupt, we received no super. It's always a warning sign," he shared with 7.30.
But here's where it gets controversial: management's swift response to the crisis. In the same email announcing the company's voluntary administration, workers were offered a chance to move to a new company, with a tight deadline of less than 48 hours to decide.
The new contract, however, came with a catch. Workers would receive a "consideration payment" equivalent to two weeks' wages, but without superannuation or recognition of outstanding leave and entitlements.
A company spokesperson defended the short timeframe, stating it was "unavoidable" to ensure continuity of services and income for staff.
Faced with the choice of signing on or potentially losing their jobs, many workers, like Stephanie Shoobert, felt they had no choice.
"I was constantly cancelling plans to work extra shifts, and now I'm left with nothing. It's devastating," she said.
The administrator's report by Olvera Advisors revealed a complex web of companies, with United Employment operating as a labour-hire arm for We United Aus (WUA), a private NDIS-funded provider. The report suggested the company may have been insolvent from the start, routinely failing to invoice clients for all payroll costs, including tax and superannuation.
The Australian Services Union's Angus McFarland is representing affected workers, aiming to recover their missing entitlements through the liquidation process.
"We're talking about $6 million in workers' entitlements that have vanished," he said.
And this is the part most people miss: the impact on the disability sector as a whole. The introduction of the NDIS has transformed the industry, shifting from a community-based model to a fragmented, free-market approach with tens of thousands of providers, many for-profit.
With over 270,000 service providers, the sector is largely unregulated, leaving workers vulnerable. Fiona MacDonald, Interim Director of the Centre for Future Work, highlights the changing worker profile - more casual, younger, and less experienced - and the lack of protection for both workers and clients.
"They're often working alone, going in and out of people's homes. They can be invisible, and it's hard for them to access information or know their rights," she explained.
The Fair Work Ombudsman, Anna Booth, confirmed the regulator is investigating the matter, with complaints about missing pay and superannuation skyrocketing in recent years.
"We've recovered over $68 million for workers, but there's still a long way to go to ensure fair treatment for all," she said.
So, what do you think? Is this an isolated incident, or a symptom of a larger issue in the disability sector? Share your thoughts in the comments below.
