To verify claims for FEG assistance the Department usually relies on the employee information from company books and records.
The Department asks insolvency practitioners to provide this information to the Department using FEG IP Online
FEG IP Online
All FEG tasks and correspondence between the Department and insolvency practitioners are sent via a new web-based portal which includes a dashboard feature to assist insolvency practitioners to manage and track their FEG work. The Department has developed the FEG IP Online Help Guide to assist insolvency practitioners use the new portal.
Increased focus on the practitioner’s access to company records as a precursor for verifying entitlements
Delays for employees claiming under FEG can have very significant adverse consequences for the employees and their financial wellbeing. The Department has looked at how it can more quickly identify cases where access to company books and records is an issue and facilitate earlier verification by alternative means, ensuring faster claim processing. The New Case Intake processes FEG Information sheet provides more information about the trial.
FEG Information for Insolvency Practitioners
The Department asks insolvency practitioners to distribute the General information for claimants to employees.
The Fair Entitlements Guarantee - Calculating costs of winding Up information sheet can assist insolvency practitioners to identify and calculate costs of the winding up or bankruptcy (costs of winding up) for the purposes of working out and verifying employment entitlements under the FEG.
The FEG IP Fact Sheet - Employee Entitlements Data FAQs offers FAQ guidance to help insolvency practitioners resolve the difficulties most commonly encountered when compiling employee entitlement information from the books and records of an insolvent company or other entity.
The Information for Insolvency Practitioners Fact Sheet provides more information about FEG and the role of insolvency practitioners.
The new verification process webinar contains a short demonstration of the changes proposed for 28 June 2017, which includes upload functionality, automated QA checks, and a new button to ‘Opt out’ of providing verification services.
FEG maximum weekly wage
Employment entitlements are capped by reference to the FEG maximum weekly wage (see sections 5, 26 and 27 of the Fair Entitlements Guarantee Act 2012). If an employee earned more than the FEG maximum weekly wage we will calculate employment entitlements as the employee earned the FEG maximum weekly wage at the time their employment ended. The FEG maximum weekly wage is:
- $2451.00 from 1 August 2013 to 30 June 2018
- $2364.00 for the period 5 December 2012 to 31 July 2013.
Direct Payment of FEG Advances to Claimants
Under direct payments the Department pays FEG advances directly to claimants through their nominated bank account within two business days of a decision. The Department calculates, withholds and remits tax to the ATO.
Do you have a question?
If you have any questions about FEG IP Online please email us at FEGIPOnline@employment.gov.au.