Annecto Care Provider Enters Voluntary Administration, Impacting Staff and Clients

Aged care, disability, and veterans care service provider Annecto Incorporated has entered voluntary administration, raising concerns about entitlement payouts for its staff.

Annecto, with over 1,000 employees and 4,400 clients in four states, had announced the cessation of its community services by the end of July. The board decided to place the organization into voluntary administration, citing insolvency or potential insolvency in the future.

Administrators McGrathNicol stated that all staff would be made redundant, with payments made on a pro rata basis if funds were insufficient. Employees could seek payouts under the Fair Entitlements Guarantee Act if the organization went into liquidation.

An Annecto carer in Melbourne expressed concerns about losing clients and financial pressure due to transitioning to new providers. Support workers faced uncertainties about their future job prospects and competition in the industry.

Most support workers catered to aged care, NDIS, and veterans affairs clients. Relationships between workers and clients were disrupted, with some clients already transitioned to new providers, leaving workers to choose which client base to follow.

Annecto client Peter Smith, with specific needs, feared losing contact with support workers who understood his requirements during the transition. He expressed devastation at having to change support providers.

Before the administration, Annecto's interim chief executive emphasized the importance of continuity of care, stating that new providers should facilitate the transition of clients with their former support workers.

Clients like Peter were encouraged to discuss continuity of care with their new providers to maintain connections with familiar support workers.