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SME forced onto payment plan to payout worker

Change purse, coins

A Victorian business has been forced to accept intervention from the Fair Work Ombudsman after finding itself unable to payout a worker’s termination entitlements.

The Fair Work Ombudsman (FWO) was contacted by the former retail manager who expressed concerns about the length of time it was taking to receive their termination payout from their former employer, which included annual and long service leave.

After the FWO’s intervention, the business revealed it was facing cash flow pressures that rendered it unable to make the $19,000 payout in one lump sum.


Instead, the FWO facilitated the negotiation of a weekly payment plan to ensure the worker was paid out without threatening the viability of the business.

The case is just latest to highlight the cash flow pressures facing many SMEs, particularly at the hands of late payments and the dreaded wrongful or fraudulent chargebacks.

As previously reported by My Business, state governments as well as multinational corporations are failing to address the issue of payment terms with the same rigour as the federal government and many of our largest companies.

Adam Zuchetti

Adam Zuchetti

Adam Zuchetti is the editor of My Business, and has steered the publication’s editorial direction since early 2016. 

The two-time Publish Awards finalist has an extensive journalistic career across business, property and finance, including a four-year stint in the UK. Email Adam at This email address is being protected from spambots. You need JavaScript enabled to view it.



SME forced onto payment plan to payout worker
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