Fair Work Infoline: 13 13 94
Media Release
7 Dec 2009
Kalgoorlie-Boulder business back-pays worker
$10,000
A Kalgoorlie-Boulder worker has been reimbursed $10,000 after an investigation
by the Fair Work Ombudsman found he was underpaid.
The employee, a professional, lodged a complaint with the Fair Work Ombudsman
when he finished working for his employer but was not paid his full accrued
annual leave entitlements, pay in lieu of notice, annual leave on termination and
wages for some time worked.
After Fair Work inspectors contacted the company and educated it about its
obligations, the worker was promptly paid the money he was owed without the
need for further action against the company.
The recovery is among a number of cases finalised recently on behalf of workers
in the Goldfields.
Inspectors discovered the underpayments through a combination of routine audits
and investigations into complaints from workers.
Common non-compliance issues inspectors have encountered in the Kalgoorlie-
Boulder area include underpayment of workers minimum hourly rates and failure
to pay full entitlements to workers upon termination of their employment.
Other recoveries include:
$5280 for a Kalgoorlie drillers offsider underpaid pay in lieu of notice and
redundancy entitlements,
$6430 for an unskilled Kalgoorlie worker underpaid the minimum hourly rate
and penalty rates,
$6310 and $5610 for two tradesman at a northern Goldfields business
underpaid accrued annual leave entitlements on termination of their
employment positions, and
$6260 for a Kalgoorlie earthmoving equipment operator underpaid accrued
leave entitlements on termination.
Fair Work Ombudsman WA Director Leigh Quealy says most of the
underpayments resulted from of a lack of understanding by employers of their
legal obligations, including applicable Awards and pay-scales and annual leave
entitlements under the legislation.
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Fair Work Infoline: 13 13 94
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Mr Quealy announced that his Kalgoorlie office would be asking up to 15 local
businesses to open their books for random audits before Christmas.
The audits will focus on employees wages and conditions and check that workers
are being paid their lawful entitlements.
In cases where records are not up to scratch or indicate workers are being
underpaid, inspectors may launch a wider investigation, Mr Quealy said.
In most cases, the Fair Work Ombudsman does not prosecute employers for
inadvertent breaches of workplace laws.
However, employers need to be aware that they can face fines of up $33,000 per
breach if we do take matters to court, he said.
Most of the $70 million we have recovered for 54,000 workers throughout
Australia over the past two years has been recouped without resorting to
litigation.
Mr Quealy says employers or employees seeking up-to-date information on wage
Infoline on 13 13 94. Translations are available by calling 13 14 50.
The Fair Work Ombudsmans website also includes information and templates to
help employers better manage employment records and payslips, he said.
Employers need to be aware that under Commonwealth workplace laws they
must keep accurate time, wages, annual leave and other employment records
and issue sufficiently detailed payslips.
Eleven Best Practice Guides have been developed by the Fair Work Ombudsman
to assist employers make better use of the provisions of the Fair Work Act and
better understand other aspects of workplace laws.
The new guides are on the website and cover work and family, consultation and
co-operation, individual flexibility arrangements, employing young workers,
gender pay equity, small business, workplace privacy, managing
underperformance, effective dispute resolution and improving workplace
productivity in bargaining.
The Fair Work Ombudsman promotes harmonious, productive and co-operative
workplaces. It also monitors compliance and investigates breaches of national
workplace laws.
NOTE: We are unable to identify individual businesses or provide additional
information about the cases listed.
Media inquiries:
Craig Bildstien, 0419 818 484. craig.bildstien@fwo.gov.au Ryan Pedler,
0434 365 924. ryan.pedler@fwo.gov.au