Australia's corporate regulator ASIC and the Australian Government Department of Jobs and Small Business (DJSB) have inked a memorandum of understanding (MOU) to improve their cooperation across their regulatory responsibilities.
DJSB is responsible for national policies and programs that help Australians find and keep employment and work in safe, fair, and productive workplaces.
“This agreement acknowledges the benefits obtained from sharing information and resources, while maintaining proper information and privacy protections,” ASIC Commissioner John Price said. “This formal arrangement will allow ASIC and DJSB to engage more cooperatively in administering programs that assist employees affected by company insolvencies.”
“The MOU will maximise the effectiveness of both our regulatory oversight functions through improved liaison, cooperation, assistance, and the exchange of information to enhance the effective and efficient performance of the respective functions of ASIC and DJSB,” said Kerri Hartland, DJSB secretary.
DJSB's responsibilities include managing the Fair Entitlements Guarantee (FEG) scheme, which provides financial assistance to employees who lose their job due to their employer's liquidation or bankruptcy. The associated FEG Recovery Program was created to strengthen the recovery of unpaid employee entitlements provided under the FEG scheme.
Hartland said the MOU provides a framework for both agencies to enhance the impact and effectiveness of programs such as the FEG scheme.
“The FEG Recovery Program is already delivering strong results and will keep up the pressure on employers to meet their obligations to employees,” Hartland said. “Better information sharing between my department and ASIC is important because of the broad reach ASIC has to influence the insolvency industry.”
