Work experience que...
 
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Community - 3fba1d66c91a5f9709191c1177e5919d?s=110&d=mm&r=g - Getting Down Under
(@adeeba)
Active Member Registered

Hi Mark,

I was working as an Accountant, however, 3 weeks were left for finish of a year and the company went in voluntary administration (NOT Liquidation!). So thereafter, I worked with the administrators for atleast 20 hours (as per rule) and was paid thereby finishing my 1 year of experience. Will my experience still be valid? 

PS: - The pay slip has my original companies name and ABN as well eg: abc ltd (Administrators apponited)

 

Please advise

Thanks

 

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Posted : May 15, 2019 12:18 pm
Mark
 Mark
(@mark)
Reputable Member Admin

Hi Abeeda, I am sorry for the delay (I missed the notification of a new post) 😫 

Contractually, who was your employer for the final three weeks? Assuming this didn't change then I would suggest your work requirements would be satisfied. 

Community Manager
Getting Down Under

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Posted : May 21, 2019 4:20 pm
Community - 3fba1d66c91a5f9709191c1177e5919d?s=110&d=mm&r=g - Getting Down Under
(@adeeba)
Active Member Registered

Hi Mark,

No worries, thanks for your response.

Now, ascertaining the employer is tricky. Its a grey area. Basically, when a company cannot pay off its debts and to avoid further consequences the company goes into administration. After the appointment of administrators,(after sacking all staff barring a few) they try to sell off the business. So, technically they can be called as the owners of the company bound by corporate law. The company still exists, trades etc but the it is the administrators who pay the bills but under the same company name.

Therefore, I work for the same company and they pay the same wage rate and I retain my position (FYI- only few people have been retained. Almost all staff sacked except few of us who are now casuals)till they sell the company. As mentioned before, they paid me like I used to receive pay previously - company name (administrators appointed). 

I have checked with CPA and they advised that they shall assess the experience as long as I have done the necessary skilled paid work for 20 hours a week.

What would be your advise? It is a very confusing situation!

Thanks

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Posted : May 21, 2019 5:00 pm
Community - 3fba1d66c91a5f9709191c1177e5919d?s=110&d=mm&r=g - Getting Down Under
(@adeeba)
Active Member Registered

Hi Mark,

 

I have just stumbled across S. 437B of Corporation Act 2001 that clearly states that Administrators act as Company's agent when performing the function or exercising the power. Thus, they are not the owners of the company. So, I think we can say that until the business is sold or otherwise a resolution is reached - although the power no more lies with the directors, they would still be the owners. What you think?

Thanks

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Posted : May 22, 2019 1:18 am
Mark
 Mark
(@mark)
Reputable Member Admin

I would be inclined to agree with you Adeeba. Employed directly or via an agent for the company who is legally recognised as being able to act. Your employment status has still continued so I think you'd be fine.  😊 

Thanks for your research on this matter and for sharing your findings here. I'm sure this will help if someone else finds themselves in this slightly obscure situation! 

Good call on also clarifying with CPA.  Onto the next step hey!?

All the best

Mark 

Community Manager
Getting Down Under

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Posted : May 22, 2019 10:32 am
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