Your employer went bust — your rights, your money
When an Australian employer becomes insolvent, the Commonwealth Fair Entitlements Guarantee (FEG) is the safety net most workers don't know exists. Up to 13 weeks unpaid wages, 4 weeks annual leave, 4 weeks long service leave and 16 weeks redundancy pay — paid by the Commonwealth, recovered later from the liquidator. This guide walks you through eligibility, how much you can claim, and how to lodge.
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FEG Claim Calculator
Estimate your FEG payout based on tenure, weekly pay and unpaid entitlements.
Redundancy Pay Calculator
What the NES redundancy scale would entitle you to.
Back Pay Calculator
Total unpaid wages owing — basis for the FEG claim.
Final Pay Timing
When the liquidator should have paid your final entitlements.
Recent major AU employer collapses
| Employer | When | Affected workers |
|---|---|---|
| Porter Davis Homes | March 2023 (FEG payments ongoing) | 1,700+ employees + 1,500+ trade contractors |
| Bonza Airlines | April 2024 (liquidation) | ~330 cabin crew + ground staff |
| Star Entertainment (various branches) | 2024-2025 (various restructures) | Casual hospitality + gaming workers |
| Various retail collapses (Godfrey's, Booktopia) | 2024-2025 | Hundreds of retail workers |
FAQ
What happens to my pay and entitlements if my employer goes bust?
If the employer is in formal liquidation or bankruptcy, you can claim under the Commonwealth Fair Entitlements Guarantee (FEG) for up to 13 weeks of unpaid wages, 4 weeks of unused annual leave, 4 weeks of unused long service leave, and 16 weeks of redundancy pay (NES scale). Capped at approximately A$2,914.50/week for 2026. You have 12 months from the insolvency event to lodge.
Does FEG cover unpaid superannuation?
No. Unpaid super is recovered separately through the ATO's Superannuation Guarantee Charge (SGC) process. Lodge an Unpaid Super Enquiry with the ATO; they pursue the liquidator and, where the SG is unrecoverable, pay it directly to your super fund from the ATO trust account. Different timeline to FEG (typically 6-18 months).
What if my employer is in administration, not liquidation?
FEG does NOT apply during voluntary administration. Administrators are trying to save the business — wages should continue to be paid; if they're not, you may have rights as a priority creditor. If the administration fails and the company is wound up into liquidation, you become FEG-eligible at that point. If a Deed of Company Arrangement (DOCA) is accepted, employees are usually paid out under the DOCA terms.
How long does FEG take to pay out?
Approximately 14-16 weeks from claim submission, per the Attorney-General's Department's published service standards. Payment goes direct to your nominated bank account. The 12-month claim deadline from the insolvency event is strict.
What about the above-FEG-cap amount?
Anything above the FEG weekly cap (~A$2,914.50/wk for 2026) is not recoverable via FEG. You can lodge the shortfall as an unsecured creditor claim with the liquidator. Realistic recovery is typically 0-10c in the dollar, depending on what assets are sold and how many creditors are ahead in the priority order.