In an unprecedented move, the Federal Government will use its own liquidator to go after Clive Palmer for the $74 Million owed to sacked Queensland Nickel workers.

"Mr Palmer's role in this is disgraceful, as you know he's been taking money out of that company for his own purposes and that has played a major part in the dire state the business is in," Prime Minsiter Malcolm Turnbull said to reporters while visiting China.  "It's a very tough time, all of our hearts go out to the workers in Townsville."

Employment Minister Michaelia Cash says those nearly 800 QN employees will now be able to claim most of their unpaid entitlements under the government's Fair Entitlements Guarantee (FEG), which the company's administrators have said would probably pay out at least $58 Million.  But the government would also engage liquidator Stephen Parbery to seek reimbursement from "where possible"; that includes from "Clive Palmer and all of his entities that have been the beneficiaries of the cash that has been stripped from Queensland Nickel".

"If money has been improperly taken out of the company, then it will be pursued," said Ms. Cash.  "If individuals have broken the law, then they will be pursued.  It is unconscionable that anybody would rip money out of a company to avoid paying employee entitlements.  It is equally unconscionable that the Australian taxpayer is then left to foot the bill."

Earlier this week, the administrators for Queensland Nickel accused Palmer of crashing the Townssville refinery by using it as a piggy bank to cover loses in his other businesses.  Palmer denies it, and he accused the government of playing election year politics with Queensland Nickel.

"It can only be for political purposes," Mr. Palmer told the AAP.  "Here we have the executive of the federal government ordering the investigation of a political opponent."

 

Employment Minister Michaelia Cash will today confirm that the nearly 800 employees will now be able to claim most of their $74 million in unpaid entitlements under the government’s Fair Entitlements Guarantee. Sacked workers have been demanding for months that the minister use her discretion and activate the FEG ahead of Queensland Nickel’s liquidation, to deliver some relief to those in dire financial straits.