News

Losses mount after closure

by
April 11, 2018

EMPLOYEES will not see a cent from Riverside Meats after the Echuca company announced it was going into voluntary liquidation last week.

And they are furious.

Seven workers who spoke to the Riverine Herald say the hand they have been dealt — 30 workers are still owned $622,526.46 — is cruel.

The money owed to the abattoir employees is only a portion of the almost $8 million owed to creditors in total.

In a letter to staff on Friday, liquidator Keith Sutherland said there was not enough money to pay employee entitlements.

‘‘At this stage it appears that there will be insufficient monies in the liquidation to pay the outstanding superannuation and other employee entitlements,’’ the letter said.

The total bill includes almost $2 million owed to the Australian Taxation Office, almost $500,000 to other unsecured creditors including the Department of Agriculture and Water and almost $5 million to secured creditor National Australia Bank.

The most one employee is owed is more than $37,000.

Unpaid entitlements include annual leave, long service leave, redundancies and in some cases rostered days off, according to the liquidator.

In the document from the liquidators it is alleged the company has zero assets.

The Australasian Meat Industry Employees Union has lodged action with the Federal Court on behalf of its members.

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