The Bankruptcy Act 1966 does not generally impose any restrictions or conditions on employment in any profession; however, various state and national associations/governing bodies do provide certain restrictions.
This applies to both people who are bankrupt and people who are subject to a personal insolvency agreement (Part X) or a debt agreement (Part IX).
The Australian Financial Security Authority (AFSA) has on its website an overview of employment restrictions to alert people to the potential trades and professional memberships that are affected in these circumstances.
On a general basis, state governments administer legislation that governs eligibility rules for trades such as plumbers, builders, secondhand dealers etc. While national or state-based professional associations / statutory boards govern such professions as accountants, lawyers, barristers etc.
The schedule is to assist and alert people to which statutory bodies may have such restrictions. It does not mean that employment or operation in those field is voided on the event of bankruptcy, it simply assists in pointing users in the right direction and is not an exhaustive list.
Impact on membership | considered an exclusion by the relevant Act or Rules, however applications for consideration can be made to the governing body to retain membership/licence. |
Potential impact | must be disclosed to the governing body but is not specifically considered an exclusion |
No impact | not specifically listed as an exclusion by the relevant Act or Rules |
Exclusion | current legislation/regulations advise that bankruptcy/personal insolvency is an automatic exclusion |
Note: Legislation and membership rules are subject to change. This table should be used as a guide only. You should contact the relevant source of information directly to confirm any impact prior to lodging the relevant personal insolvency applications.
National Authorities
Profession / Trade | Impact | Authority |
Accountants – CA | Impact on Membership/Licence | Chartered Accountants Australia and New Zealand |
Accountants – CPA | Impact on Membership/Licence | CPA Australia |
Accountants – IPA | Impact on Membership | Institute of Public Accountants |
Bookkeepers | Impact on Membership | Institute of Certified Bookkeepers |
Company director | An undischarged bankrupt or a person subject to a Personal Insolvency Agreement cannot be involved in the management of a company unless authorised by a Court. | Australian Securities & Investments Commission (ASIC) |
Councillors | Impact on Membership | Contact local government office |
Defence Force | Navy and/or RAAF personnel should contact their respective HR departments for information on potential consequences. | Department of Defence |
Finance Brokers & Securities | Impact on Membership/Licence. Note that finance broking in certain States/Territories may also be regulated under respective state legislation. | Australian Securities & Investments Commission (ASIC) |
Members of Parliament | Exclusion from Membership | Parliament of Australia |
Operating a Business (as a sole trader or partnership) | Potential Impact: Debt Agreement and Part X Agreements may not necessarily impact your ability to operate a business. Under Bankruptcy, you may be prevented from running a business because your trustee may sell the assets of your business. Any existing partnership you are part of will dissolve. If you are able to continue running the business by your trustee, you must disclose your bankruptcy to all those who your business deals with and you must include your full name in your business name. | Australian Financial Security Authority (AFSA) |
Police – Federal | Impact on Membership | Australian Federal Police |
Registered Nurse of Midwife | Potential Impact (but must be declared on application) | Nursing and Midwifery Board |
SMSF Trustee or Beneficiary | Exclusion from Membership | Australian Prudential & Regulatory Authority (APRA) |
Tax Agents | Impact on Membership | Tax Agent’s Board |
State/Territory Based Authorities
Profession/ trade | WA | Tas | NT | ACT |
Builders Licence | Potential Impact | Potential Impact | Exclusion | Exclusion |
Department of Commerce | Department of Justice | Northern Territory Building Practitioners Board | ACT Environment & Planning Directorate | |
Debt Collector/ Process Server/ Repossession Agent | Potential Impact | Potential Impact | Exclusion | Potential Impact |
Department of Commerce | Consumer Affairs & Trading | Northern Territory Licensing | Refer NSW | |
Electrician | Potential Impact | Potential Impact | Potential Impact | Potential Impact |
Energy Safety – Dept of Commerce | Department of Justice | NT Electrical Workers and Contractors Licensing Board | ACT Environment & Planning Directorate | |
Escort Agencies and/or Brothel Managers | N/A | N/A | Potential Impact | Potential Impact |
No Authority | No Authority | Northern Territory Licensing | Office of Regulatory Services | |
Gaming Room/ Casino Employees | Potential Impact | Potential Impact | Potential Impact | Potential Impact |
Department of Racing, Gaming and Liquor | Department of Treasury and Finance | Northern Territory Licensing | ACT Gambling & Racing Commission | |
Gas Fitter Licence | No Impact | No Impact | No Impact | Potential Impact |
Energy Safety – Dept of Commerce | Department of Justice | NT Worksafe | Environment & Planning Directorate | |
Justice of the Peace/ Comm. Dec | Exclusion | Exclusion | Exclusion | Impact |
Department of the Attorney General | Department of Justice | Department of Justice | Department of Justice and Community Safety | |
Liquor Licence (Publican) | Impact | Potential Impact | Impact | Potential Impact |
Department of Racing, Gaming and Liquor | Department of Treasury and Finance | Director General of Licensing | Office of Regulatory Services | |
Police – State | Impact | Impact | Impact | Impact |
WA Police | TAS Police | NT Police | Australia Federal Police | |
Plumber Licence | Potential Impact | No Impact | Potential Impact | Potential Impact |
Plumbers Licensing Board | Department of Justice | Northern Territory Plumbers & Drainers Licensing Board | Environment & Planning Directorate | |
Private Investigator Licence | Potential Impact | Potential Impact | Exclusion | N/A |
WA Police | Consumer Affairs and Fair Trading | Northern Territory Licensing | N/A – currently no licensing body | |
Real Estate Licence | Impact | Exclusion | Impact | Impact |
Department of Commerce | Property Agents Board | Northern Territory Licensing | Office of Regulatory Services | |
Second Hand Dealers & Pawnbrokers Liences | Potential Impact | Potential Impact | Impact | Potential Impact |
WA Police | TAS Police | Northern Territory Licensing | Office of Regulatory Services | |
Security Licence | No Impact | Potential Impact | No Impact | Potential Impact |
WA Police | Consumer Affairs and Fair Trading | Director General of Licensing | Office of Regulatory Services | |
Solicitors/ Lawyers (Practicing) | Impact | Impact | Impact | Impact |
Legal Practice Board | TAS Supreme Court | NT Supreme Court | ACT Supreme Court | |
Travel Agents Licence | All state licencing is being wound down | All state licencing is being wound down | All state licencing is being wound down | All state licencing is being wound down |
Department of Commerce | Consumer Affairs and Fair Trading | Northern Territory Licensing | Office of Regulatory Services | |
Vehicle Dealer Licence | Potential Impact | Exclusion | Exclusion | Potential Impact |
Department of Commerce | Consumer Affairs and Fair Trading | Northern Territory Licensing | Office of Regulatory Services |
Profession/ trade | NSW | VIC | QLD | SA |
Builders Licence | Exclusion | Potential Impact | Exclusion | Exclusion |
Department of Fair Trading | Victorian Building Authority | Queensland Building & Construction Commission | Consumer & Business Services – Licensing | |
Debt Collector/ Process Server/ Repossession Agent | Potential Impact | Exclusion | Exclusion | Potential Impact |
NSW Police | Consumer Affairs Victoria | Office of Fair Trading | Consumer & Business Services – Licensing | |
Electrician | Potential Impact | Potential Impact | Potential Impact | Potential Impact |
Department of Fair Trading | Energy Safe Victoria | Electrical Safety Office | Consumer & Business Services – Licensing | |
Escort Agencies and/or Brothel Managers | N/A | N/A | Potential Impact | Potential Impact |
N/A | Potential Impact | Exclusion | N/A | |
Gaming Room/ Casino Employees | Potential Impact | Potential Impact | Potential Impact | Potential Impact |
NSW Office of Liquor, Gaming & Racing | Commission for Gambling & Liquor Regulation | The Office of Liquor, Gaming and Racing (OLGR) | Consumer & Business Services – Licensing | |
Gas Fitter Licence | Potential Impact | Potential Impact | No Impact | No Impact |
Department of Fair Trading | Victorian Building Authority | Dept of Natural Resources and Mines | Consumer & Business Services – Licensing | |
Justice of the Peace/ Comm. Dec | Exclusion | Exclusion | Exclusion | Exclusion |
Department of Justice | Honorary Justice Office | Department of Justice & Attorney General | Attorney General’s Department | |
Liquor Licence (Publican) | Potential Impact | Impact | Impact | Potential Impact |
Office of Liquor Gaming & Racing | Commission for Gambling & Liquor Regulation | The Office of Liquor, Gaming and Racing | Consumer & Business Services | |
Police – State | Impact | Impact | Exclusion | Impact |
NSW Police | VIC Police | QLD Police | SA Police | |
Plumber Licence | Potential Impact | Potential Impact | Potential Impact | No Impact |
Office of Fair Trading | Victoria Building Authority | Queensland Building & Construction Commission | Consumer & Business Services | |
Private Investigator Licence | Potential Impact | Exclusion | Exclusion | Potential Impact |
NSW Police | Victoria Police | Office of Fair Trading Qld | Consumer & Business Services | |
Real Estate Licence | Impact | Impact | Exclusion | Exclusion |
Office of Fair Trading | Consumer Affairs Victoria | Office of Fair Trading | Consumer and Business Services | |
Second Hand Dealers & Pawnbrokers Liences | Impact | Impact | Impact | Impact |
Office of Finance and Services | Consumer Affairs Victoria | Office of Fair Trading | SA Police | |
Security Licence | No Impact | Potential Impact | No Impact | Potential Impact |
NSW Police | VIC Police | Office of Fair Trading | Consumer & Business Services | |
Solicitors/ Lawyers (Practicing) | Impact | Impact | Impact | Impact |
Legal Profession Admission Board | Board of Examiners | Legal Practitioners Admissions Board | Board of Examiners | |
Travel Agents Licence | All state licencing is being wound down | All state licencing is being wound down | All state licencing is being wound down | All state licencing is being wound down |
Office of Fair Trading | Consumer Affairs Victoria | Office of Fair Trading | Consumer & Business Services | |
Vehicle Dealer Licence | Exclusion | Exclusion | Exclusion | Exclusion |
Office of Fair Trading | Consumer Affairs Victoria | Office of Fair Trading | Consumer & Business Services |