Future of 1,400 workers with disability in doubt as support service enters administration

ABC NEWS (Australia)

The future of more than 1,600 employees at Bedford Industries is in doubt after it announced it will go into voluntary administration.  The organisation, which is Australia's second largest disability support service, says it's failed to gain the federal support it needs to keep operating.

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00:00For 80 years Bedford industry has supported workers with disabilities, but the 1,650 strong

00:09workforce including 1,400 workers with disabilities is facing an uncertain future, with Bedford

00:16Industries announcing it expects to go into voluntary administration on Sunday.

00:21It's obviously a very distressing time, they don't know if they're going to cease being

00:25paid at some point really soon and what it will mean for their entitlements.

00:29In a statement Bedford says the decision came after long discussions with its bank and the

00:34state and federal governments.

00:36The CEO Myron Mann says the organisation remains committed to supporting its clients, residents

00:42and staff during this challenging time and that it's a devastating situation with vast

00:48personal impact.

00:49They're almost too big to fail so it is a pretty worrying time.

00:55I think it's a symptom though of where the disability sector is at.

01:00The federal government says Bedford has received about 43 million dollars in NDIS funding since

01:07April 2024 adding in a statement its thoughts are with all of Bedford's employees and those

01:13who rely on its services for their care and support.

01:16It says the Australian government's been supporting South Australia's discussions with Bedford in

01:22recent weeks.

01:23South Australia's Premier Peter Malinowskis said in a statement his government has been

01:27in cooperative discussions with Bedford for weeks regarding its financial situation and

01:33he'll be meeting with the organisation tomorrow.

01:36The United Workers Union is blaming NDIS funding for impacting the disability sector.

01:41It has provided such an unstable income source for disability providers, they have no surety

01:50to be able to make sure that they can put all the things in place for an organisation to

01:54be able to function.

01:55Bedford workers left hoping a last minute rescue plan can be delivered.

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