About ACIRT

ACIRT stands for the Australian Construction Industry Redundancy Trust. It was established in 1994 to create a safety net for workers in the construction industry who lose their jobs. Every payday, employers are required to pay money into an employee’s ACIRT account as agreed under various industrial awards and enterprise agreements. Then if a member is made redundant, ACIRT will pay an entitlement to them calculated on a weekly basis, and paid monthly in arrears.

ACIRT is a trust. The operations of ACIRT are governed by a trust deed. The trustee of ACIRT is a company called ACIRT Pty Limited which has a Board of Directors made up of equal trade union and employer organisation representation.

Individuals become members of ACIRT when their employer, called a Participating Employer (if required to under an award or an enterprise agreement), pays in the first contribution to satisfy their employee’s redundancy entitlements. Once the Participating Employer has done this, a separate Member Account is established in the member’s name. Their account builds up every month as contributions are paid in.

When the member becomes redundant (as defined in the Trust Deed), they are entitled to be paid a benefit of the accumulated employer contributions in their Member Account, less any tax that we may be required by law to deduct.

It should be noted that even if a member becomes redundant, benefits do not have to be claimed immediately – but extra tax may be payable if the benefit is not claimed within one year.

If a member leaves one Participating Employer and goes to work for another employer who also has to pay redundancy contributions into ACIRT, the contributions paid will be credited to the Member Account we have already opened.

No fees or charges are currently deducted from Member Accounts and we undertake to give you at least ninety (90) days notice of our intention to do so.

ACIRT will generally distribute all its annual income (after deducting all the expenses the trustee incurs in managing the trust) to eligible members. The income that members receive is calculated in the same way as many bank accounts, that is, on a members’ average daily balance.

Not all members will be eligible to receive a distribution – the trustee may, for example, decide to pay distributions to members where the distribution is going to be above a minimum amount. If a member receives a distribution, it will be taxable in the financial year it is received.

The Australian Construction Industry Redundancy Trust (ACIRT) is a national fund supported by the major employer organisations and unions who cover the building, civil, mechanical, metal and engineering construction industry.

The Fund provides for contribution flexibility as it allows employers to pay the minimum contribution of $25 per week for their employees until the award redundancy entitlement is funded, or they can make higher contributions at the rate specified in an Industrial Instrument.

Employers should be aware that they could be required to make higher weekly ACIRT contributions than those specified in their Deed of Adherence because it is a condition required as a result of contractual obligations.

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