Dozens of former Bedford employees are still waiting to be paid after the disability-employment organisation collapsed earlier this year, leaving about AU $11 million in unpaid staff entitlements.

This comes as Bedford’s financial troubles continue to unfold, affecting both former employees and hundreds of creditors.

 

Bedford, once one of South Australia’s biggest disability-employment providers, went into voluntary administration in July 2025 after serious financial strain. According to ABC News, the company now has about 540 unsecured creditors and roughly AU $18 million in total debt.

 

Among those affected are 29 staff who were recently made redundant. Some told ABC News they were shocked by how suddenly they lost their jobs, saying they were informed only hours before the organisation announced a major sale of its services.

One former worker, Carolyn Arnold, said she is owed around AU $8,000 in leave and entitlements, while another, Annette Raue, said her outstanding pay totals about AU $28,000, money she needs for her mortgage and daily expenses.

 

Administrators from McGrathNicol, who are handling Bedford’s affairs, said former staff will only receive their money once assets are sold and funds become available. If Bedford is fully wound up later, workers may be able to apply for the Australian government’s Fair Entitlements Guarantee (FEG) scheme, but this would only happen if the company is officially liquidated.

 

Despite the job cuts, there is some progress for supported workers, the more than 1,000 people with disability who rely on Bedford’s services. A recent deal has identified The Disability Trust as the preferred buyer to take over those services, according to ABC News. This may help secure ongoing employment and support for current participants.

 

The financial collapse follows earlier rescue attempts. The South Australian Government provided a AU $15 million loan in July to try to keep Bedford afloat, and the Federal Government later added AU $4.4 million to help stabilise operations while a buyer was sought.

 

However, unions say more needs to be done immediately. They have called on the administrators and government to ensure former workers are paid sooner, noting that many of them are older and struggling to find new jobs during the holiday period.

 

A second creditors’ meeting is expected before 22 December, when it will become clearer whether Bedford will be wound up or whether more funds will be raised to cover the unpaid entitlements.

 

For now, the former employees remain in uncertainty, waiting to find out if they will ever receive the money they are owed after years of service.