Federal funding keeps Bedford afloat as buyer search continues
Disability employment provider Bedford has secured $4.4 million in federal funding to keep its doors open while a buyer is found, safeguarding 1,500 supported jobs in South Australia amid ongoing financial uncertainty.
One of Australia’s largest disability employment providers, Bedford, has received an additional $4.4 million from the federal government to continue operating while a buyer is found for the organisation.
The Adelaide-based provider employs around 1,500 South Australians with disability across its supported workplaces and community enterprises. It avoided entering voluntary administration in July after the South Australian Government provided a $15 million lifeline, following warnings about the company’s deteriorating financial position. Advisory firm McGrathNicol was brought in to help restructure operations and explore long-term options.
Federal Health, Aged Care and Disability Minister Mark Butler said the latest funding would ensure that jobs and services continue during the sale process, which is expected to take place throughout October.
“The only way Bedford has a future is through a sale,” Mr Butler told ABC Radio Adelaide. “We have to make sure there are services in the future for the many South Australians living with disability who rely on it day in and day out.”
Mr Butler expressed disappointment about the depth of Bedford’s financial troubles, saying the review had revealed a more serious situation than initially expected.
“It just gives you a sense of the difficult financial position Bedford got itself into,” he said. “I’m pretty unhappy taxpayers are now going to have to put another $4 million on the table, but we need to ensure continuity of services.”
Bedford confirmed in a statement that “all options” for its continuity were being considered, with several potential buyers already expressing interest. The organisation said it was “grateful for the financial support” provided by both state and federal governments and would share more details about its future once the sales process concludes.
The company’s potential sale has raised broader questions about the stability of disability employment services across Australia, as providers navigate rising costs, funding constraints and changes to supported employment models under the NDIS.
While the federal funding ensures Bedford can keep operating in the short term, its long-term future — and the security of hundreds of supported workers — now rests on finding a suitable buyer committed to maintaining its disability employment programs.