{"id":731296,"date":"2026-06-12T06:36:12","date_gmt":"2026-06-12T06:36:12","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/731296\/"},"modified":"2026-06-12T06:36:12","modified_gmt":"2026-06-12T06:36:12","slug":"ndis-labour-hire-provider-united-foundation-enters-administration-citing-registration-changes-and-rising-costs","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/731296\/","title":{"rendered":"NDIS labour hire provider United Foundation enters administration citing registration changes and rising costs"},"content":{"rendered":"

A disability services labour hire company has entered voluntary administration and laid off 27 staff blaming regulatory changes, withheld NDIS payments and rising workforce costs.<\/p>\n

United Foundation notified staff this week that administrators from Mackay Goodwin had been appointed in a move it described as a step to “keep trading while we sort the finances out”.\u00a0<\/p>\n

The move does not mean the company will necessarily wind up, but it does not guarantee survival either.<\/p>\n

The company employs about 480 disability support workers for more than 1,000 NDIS participants in supported independent living settings in New South Wales and South Australia.<\/p>\n

Many of the participants were caught up in the shock collapse of United Employment last year<\/a>.<\/p>\n

United Foundation, which is registered as a not-for-profit charity, took on the labour hire work after United Employment went under.<\/p>\n

Workers lose pay, super as NDIS provider collapses<\/a><\/p>\n

Up to 500 workers are fighting to recoup pay, super and entitlements after the collapse of a large disability support provider operating in New South Wales.\u00a0<\/p>\n

The director of United Foundation, Karim Amin, is separately contesting the validity of ASIC documents that show he was a director of United Employment for eight months. The case is being heard in the Federal Court.<\/p>\n

In an internal email to employees Mr Amin said the decision was driven by “three things hitting at once”: NDIS provider registration changes<\/a> due to take effect from July 1, delayed payments from the scheme, and rostering costs exceeding the funding received for services.<\/p>\n

“Voluntary administration is the opposite move [to liquidation]. It lets us keep trading while we sort the finances out so the business survives and your jobs continue,” Mr Amin said.<\/p>\n

The company told workers their pay would continue as normal and that superannuation, leave entitlements and visa sponsorship arrangements would not be affected.<\/p>\n

Mackay Goodwin is expected to contact staff in the coming days with a formal notice of the administration to follow.<\/p>\n

The administrators said they would continue operating the business and paying staff during the process.<\/p>\n

\"An<\/p>\n

New requirements are coming for some NDIS providers to formally register with the scheme watchdog. (ABC News: Patrick Stone)<\/p>\n

However, 27 “non-essential” employees were made redundant the day after their appointment, a move the administrators said was necessary to cut costs and sustain services.<\/p>\n

“We acknowledge the very real impact this has on those individuals and their families. Entitlement options, where appropriate \u2026 will be communicated directly to those affected,” Mackay Goodwin said.<\/p>\n

‘They’re going through it again’<\/p>\n

ASU NSW secretary Angus McFarland said some workers had moved to United Foundation from United Employment when it went into administration and then into liquidation.<\/p>\n

“We’re really worried about the same group of workers being churned through the system,” he said.<\/p>\n

The union said some employees were still waiting on entitlements from a previous collapse and now faced more uncertainty.<\/p>\n

“We still actually haven’t secured the entitlements \u2026 from 12 months ago and now they’re being told they’re going through it again,” Mr McFarland said.<\/p>\n

\"Man<\/p>\n

Angus McFarland says some of the same employees who moved from United Employment are being affected. (ABC News: Billy Cooper)<\/p>\n

A spokesperson from the Department of Employment and Workplace Relations said that 117 former employees of United Employment have lodged claims under the Fair Entitlement Guarantee, a scheme providing assistance for unpaid employee entitlements in insolvency.\u00a0<\/p>\n

Of those claims, 110 have been processed, they said.<\/p>\n

A Fair Work Ombudsman spokesperson said “the FWO is investigating both United Employment and United Foundation. As these investigations are ongoing, it is not appropriate to comment further”.<\/p>\n

Administrators will now determine whether the company can be restructured, sold, or ultimately wound up.<\/p>\n

The National Disability Insurance Agency, which runs the NDIS, has been contacted for comment.<\/p>\n

The union is also calling for tighter oversight of labour hire firms, arguing that New South Wales lacks a licensing scheme to prevent potentially unsuitable operators entering the market.<\/p>\n","protected":false},"excerpt":{"rendered":"A disability services labour hire company has entered voluntary administration and laid off 27 staff blaming regulatory changes,…\n","protected":false},"author":2,"featured_media":731297,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[64,63,99,353992,68905,5793,189661,297465,218870,353993],"class_list":["post-731296","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-au","tag-australia","tag-business","tag-labour-hire-provider","tag-ndia","tag-ndis","tag-ndis-changes","tag-ndis-cuts","tag-united-employment","tag-united-foundation"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/731296","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=731296"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/731296\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/731297"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=731296"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=731296"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=731296"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}