PaperlinX appoints barrister as its second chairman in just six months
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Mr Kaye, who joined the PaperlinX board as a non-executive director in September 2012, replaces Michael Barker as chairman.
The company did not give a reason for the change.
Mr Barker was handed the top job last October as the unprofitable Melbourne-based company began a major restructure, which includes asset sales and the closure of its Tasmanian operations. Mr Barker had joined the board at the same time as Mr Kaye, replacing Harry Boon after he and two directors resigned.
The company also lost its former chief, Toby Marchant, last July.
PaperlinX on Tuesday said Mr Barker would remain as a non-executive director.
Its shares closed down 1.15 per cent to 8.6¢ against a slight lift in the broader market.
But the shares have grown by 17.8 per cent this year, taking PaperlinX's market capitalisation to $52.4 million.
In February, it posted a first-half loss of $57.3 million, including an impairment charge of $24.7 million, and said it hoped to return to profitability in 2014 following a major restructure.