Sunita Somvanshi
Bedford Group, one of South Australia’s largest disability employers and the second-largest in the nation with an 80-year legacy, announced it will enter voluntary administration on Sunday, July 27, 2025, impacting 1,400 people with disability across the state.
CEO Myron Mann described the situation as “heartbreaking” and “devastating,” noting the organization has worked exhaustively to avoid this outcome through negotiations with state and federal governments and banking partner NAB.
“It is an incredibly disappointing outcome not only for Bedford but for the national disability sector,” Mann said, explaining that despite clear efforts to innovate and remain financially sustainable, the “magnitude of challenges, particularly in relation to the supported employment model, remain complex to navigate and unprofitable for organizations.”
The announcement comes despite Bedford’s ambitious $50 million strategic plan, which included the development of a flagship Advanced Manufacturing and Retail Hub in Salisbury. The 19,000-square-meter facility, constructed in partnership with Leyton Property and Leyton Funds at a cost of $48.5 million, was scheduled to open later in 2025 as one of Australia’s largest social enterprise sites.
Bedford Group, which employs 1,650 people across 22 sites throughout South Australia, has spent recent years working to reduce its dependence on NDIS funding models. The organization provides supported employment across multiple industries including furniture manufacturing, packaging, hospitality, and horticulture.
Premier Peter Malinauskas confirmed the State Government has been in discussions with Bedford for several weeks and has “made offers of financial assistance.” He will meet with Bedford leadership on July 25, prioritizing “the care and support of the people who rely on Bedford.”
Bedford’s struggles reflect broader challenges in the disability sector. The NDIS is projected to cost $50 billion by 2025, with funding pressures intensifying for disability service providers. Mann noted that Bedford leaders remain “steadfast in our commitment to supporting each of our clients, residents and staff during this challenging time” with discussions continuing with government and banking partners until the Sunday deadline.
Founded in 1945 as a tuberculosis workshop, Bedford merged with Phoenix Society in 2014 to become a comprehensive disability service provider offering employment, training, day options, and supported accommodation services. The voluntary administration process will determine whether the organization can restructure or must be liquidated.For affected families and NDIS participants, the NDIA can step in to help maintain supports or arrange transfers when a provider collapses.
