Silverado: If the Dept is taking on more LAMEs and you are employed as a LAME then it would seem highly likely to not be a genuine case of redundancy. The devil may be in the details, there may well be different positions or somesuch that they may be able to use as selection criteria rather than the blanket "we are all LAMEs" that is presumed to be correct but may not be so. Note that location is a valid selection criteria so if they have too many LAMEs in Sydney but not enough in Brisbane then they can make positions redundant in Sydney whilst employing in Brisbane.
CoolB1: Correct. The tax office in particular are very clear in this regard due to the "benefits" of the eligible termination legislation with regard to tax taken.