‘Slapped in the face’: SA’s Bedford staff file unfair dismissal claims
Workers at embattled disability employment services company Bedford were given their marching orders on the same day the Federal Health Minister heralded news of a buyer being found as “wonderful”.
On the same morning that workers for Bedford Group celebrated the news that a preferred buyer had been found for the ailing disability employment services company, Annette Raue was told by management she had lost her job.
Raue – who worked in Bedford’s lotteries division for 11 years, raising money to support the organisation’s mission – said she was told by her manager to pack up her belongings and leave the Panorama premises.
She claimed the manager said Raue was being made redundant and that she had to go home. Raue said she was paid $110 for the day’s work on November 17, 2025.
Raue is one of three staff members previously in 29 corporate roles at Bedford who were made redundant by Bedford administrator McGrathNicol when the insolvency and restructuring firm was appointed on November 17.
That same morning, the Federal Government announced it had provided $13.2 million in extra funding to prop up the beleaguered not-for-profit.
At the time, Federal Health Minister Mark Butler said the announcement was “wonderful news for families who rely on the organisation for employment and NDIS services and who have been deeply concerned about the future”.
This took Federal Government funding of the struggling business to $17.6 million, on top of $15 million pledged by the state government, after the disability employment services company almost collapsed in July.
It was also announced that not-for-profit disability services provider The Disability Trust was expected to be the preferred buyer of Bedford. This deal was endorsed by the Bedford board, and the deal remained subject to creditor approval.
Creditors are set to vote on the future of the Bedford entities at meetings on December 19 and December 22.
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Raue – alongside Karen Rebers and Carolyn Arnold – filed unfair dismissal claims over the weekend, alleging McGrathNicol did not comply with staff enterprise agreements in making them redundant.
Raue, who lives in the northern suburb of Eyre, claimed she was not paid $41,000 in entitlements, including almost $6000 of annual leave and $10,100 of long service leave.
Meanwhile, Arnold claimed she was not paid $16,001 in entitlements, and Rebers said she was not paid $4783.
Raue – who travelled for two hours each day on public transport to get to the Balyana work site – said the redundancy meeting was “like being slapped in the face”.
She and her husband Peter are on one income, and the money owed is “income we haven’t got”, right before Christmas.
“I loved doing the lottery,” Raue told InDaily.
“After all these years, one conversation: ‘see ya’.
“Not to say ‘thank you for what you’ve done for us’, anything like that. It’s like they just put us in the bin.”
In her application to the Fair Work Commission, Raue said she was told by McGrathNicol that she was not eligible for financial assistance under the Australian Government’s Fair Entitlements Guarantee.
“The FEGS ineligibility has been significantly enhanced by the actions of the administrator in failing to comply with the industrial instrument consultation provisions creating maximum vulnerability to nonpayment of entitlements,” her application reads.
She claimed the Bedford Phoenix Incorporated Staff Enterprise Agreement 2022 was not complied with, as the administrator did not endeavour to pursue an alternative arrangement, such as leave with pay while she sought alternative employment, finding another role within the business, or consideration of her taking annual leave during the period.
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There was also no consultation about the changes with staff or the union, she claimed.
In a statement, McGrathNicol said the three positions in question were part of 29 corporate roles made redundant shortly after the business was appointed as administrators.
“These roles were no longer required given Bedford’s insolvency,” the spokesperson said.
“There has been no reduction of supported employment roles during the administration.”
Speaking to InDaily, CFMEU Manufacturing Division SA secretary David Kirner said workers were “left in what we would call a very precarious situation right before Christmas”.
He said it was unusual for an administrator to take this type of action, and he had not often seen a lack of consultation with the union in these situations.
“We are highly concerned it’s been done in a way that is illegal, and these workers are now exercising legal rights to take action because they stand to lose a significant amount of money,” said Kirner.
“We’ve dealt with administrators in the past. We’ve sat down with them, they’ve reached out to us and we’ve worked out strategies in accordance with the industrial instruments that cover these workers.
The applications were supported by the CFMEU, which has asked the Fair Work Commission to reinstate the workers to their jobs and to pay compensation of six months’ wages.
The CFMEU had already taken the administrators to the Fair Work Commission calling for further consultation with the union and workers.
That led to McGrathNicol being forced to supply a list of entitlements to all 88 workers that were sacked, which revealed they were collectively owed close to $1 million.
“In 2025, in an administration run by Australia’s largest administrator, in a situation where the government has injected millions and millions of dollars, people can’t see fit to just say ‘Hang on a minute’,” Kirner said.
“These people should get their money. The union is fighting to make sure that the people must get their money.
“This is the period where employers don’t pick people up because the year is winding down. In our experience, December is the worst time to lose a job, and a number of workers have not found employment yet.”
The applications will soon progress to a hearing at the Fair Work Commission later this month.
InDaily contacted Minister Butler’s office for contact but was told by a spokesperson that the Minister could not comment on matters before the court. Premier Peter Malinauskas was also contacted for comment.
