s 120 - Redundancy pay

Application to vary redundancy pay - incapacity to pay

• [1] On 8 March 2025, Regal Cabinets Pty Ltd (the Applicant) applied to the Fair Work Commission for an order under s 120 of the Fair Work Act 2009 (Cth) (the Act) that the amount of redundancy pay due to Mr Kevin Hazel be reduced by 100 percent.

• [2] On 19 March 2025, a conference was convened with the parties. The parties agreed about the disposition of the dispute between them and sought an order giving effect to their in-principle agreement. By consent, the parties sought an order to reduce the amount of Mr Hazel's redundancy pay by 100% on the basis that the Applicant was unable to pay Mr Hazel, a director of the Applicant, the redundancy pay owing under clause 39.4 of the Timber Industry Award 2020[1] (see s 120(1)(b)(ii) of the Act).

• [3] Being satisfied that there was an application properly before the Commission pursuant to s 120 of the Act and that it was appropriate to do so, I have determined the dispute by issuing an Order[2] concurrently with this decision in the terms sought by the parties. In doing so, the Commission advised the parties that it would be appropriate to publish short reasons for decision in relation to the Order, and these are those reasons.

[1] MA000071.

[2] PR785397.

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