Redstar Transport has gone belly-up and hundreds of workers are losing their jobs, which liquidators acknowledge is a "terrible situation at any time, let alone on the eve of the holidays".

Redstar employed around 400 people at locations in Brisbane, Melbourne, Adelaide, Sydney, Perth and Dubbo.  PricewaterhouseCoopers (PwC) was appointed to wind down the company.

"We are doing everything we can in the circumstances to manage the fallout," said PwC's Stephen Longley, who along with fellow liquidator Martin Ford expect the process of ceasing operations and making workers redundant will be wrapped up quickly.

"PwC is taking a risk by accepting this appointment, however, somebody needs to stand up for these 400 employees and make sure their entitlements are calculated and paid by FEG as soon as possible" Longley added.  "The liquidators thank Toll and ANZ for making financial pledges which allowed the liquidators to consent to the appointment.  Now that the company is in liquidation, employees will be able to have their entitlements paid by the federal government’s Fair Entitlements Guarantee (FEG) Scheme.  It is heartening to see some companies take their social responsibility seriously."

The Transport Workers Union (TWU) is blaming the federal government.

"This is yet more evidence that the federal government's abolition of the Road Safety Remuneration Tribunal (RSRT) was nothing more than a free pass to the big end of town at the expense of operators being able to survive and pay their workers," said TWU national assistant secretary Nick McIntosh.