Throughout 2026, a number of Australian employers have announced redundancies, restructures, and job cuts, often citing a combination of economic pressures, cost reductions, offshoring, productivity initiatives, and AI-related transformation. These redundancies and job cuts have a massive effect on the individuals and families concerned. Many taxpayers that have been made redundant take months or even years to re-enter the workforce depending on their age and skill set.
Recent Australian examples of redundancies and layoffs include:
- Atlassian announced significant workforce reductions in 2026, with reports indicating around 1,600 jobs were cut globally, including impacts on Australian employees.
- Australian logistics software giant WiseTech Global announced approximately 2,000 redundancies as part of an AI-driven restructuring program.
- National Australia Bank proposed reducing around 170 Australian roles while expanding staffing in offshore centres.
- Telstra reportedly added another 650 redundancies as part of continuing business transformation and efficiency programs.
- Seven West Media announced hundreds of job losses amid weakness in television advertising revenue.
Broader economic trends
A July 2026 Goldman Sachs analysis highlighted 35 ASX-listed companies where labour costs had grown significantly relative to revenue. The report suggested that slowing economic growth, persistent inflationary pressures, and cost-reduction programs could lead to further workforce cuts across banking, retail, healthcare, mining, and other sectors.
Separately, analyses of Australia’s technology sector reported more than 4,000 tech-related job losses in the early part of 2026, with Sydney ranking among the global centres most affected by technology layoffs.
Common characteristics among recently retrenched workers include:
- Large mortgages taken out when employment was secure.
- Dependants and school expenses.
- Reduced ability to meet repayments after loss of income.
- Delays in qualifying for Centrelink support.
- Limited access to superannuation because of the severe financial hardship rules.
For many Australians in this position, the strongest immediate strategies are:
- Applying for Jobseeker or other eligible support.
- Contacting the lender’s hardship team before arrears develop.
- Reviewing spending and creating a survival budget.
- Preserving redundancy payments and cash reserves.
- Considering retraining or transitioning to sectors still hiring strongly.
From a financial planning perspective, the key message is that redundancy-related hardship is becoming more common across both white-collar and blue-collar industries.
Can you access your superannuation for financial hardship, such as if you are made redundant.
Yes, potentially. However, strict conditions must be met, and the application must be made directly to the client’s superannuation fund, not to the ATO. The fund trustee ultimately decides whether the benefit will be released.
Conditions that must be satisfied
If you are aged under 60 years old, the legislation requires you to satisfy both of the following requirements:
- Have received eligible government income support payments continuously for at least 26 weeks
- Be unable to meet reasonable and immediate family living expenses
This generally means being unable to pay essential costs such as:
- Rent or mortgage payments
- Utilities
- Food and household expenses
- Essential medical costs
- Other immediate living expenses.
How much can be released?
If approved under the severe financial hardship provisions for someone under preservation age:
- Minimum withdrawal: $1,000
- Maximum withdrawal: $10,000
Only one withdrawal can generally be made in any 12-month period.
Clearly, this amount is grossly insufficient. Furthermore, many people experiencing genuine financial stress do not qualify because they have not been receiving eligible Centrelink income support payments continuously for 26 weeks. Financial hardship alone is not enough; the income support requirement is a key legislative condition.
Other possible early-release grounds
If you do not satisfy the severe financial hardship criteria, they may wish to consider whether they qualify for:
- Compassionate grounds (for example, to prevent foreclosure of a home, certain medical expenses, funeral costs, or disability-related modifications)
- Terminal medical condition
- Temporary or permanent incapacity.
Should you require further information on accessing super on grounds of financial hardship, please feel free to contact Peter Quinn by submitting an enquiry or by calling us on +61 2 9580 9166.
The information in this document does not take into account your personal objectives, financial situation, or needs, so you should consider its appropriateness having regard to these factors before acting on it. It is important that your personal circumstances are taken into account before making any financial decision and it is recommended that you seek assistance from your financial adviser