Mildura Employer Faces Court For Allegedly Underpaying Worker $130,000

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29th January 2010, 11:00am - Views: 545





People Feature Fair Work Ombudsman 1 image

Fair Work Infoline: 13 13 94 





Media Release





   29 Jan 2010


Mildura employer faces court for allegedly

underpaying worker $130,000 


A

Red Cliffs man will face court for allegedly underpaying a local worker more

than $130,000 over four years.


The Fair Work Ombudsman has launched a prosecution against Kenneth Chiswell

in the Melbourne Magistrates’ Court in Melbourne.


Mr Chiswell operated a sole-trader aircraft refuelling business at Mildura Airport.


It is alleged Mr Chiswell underpaid one of his employees a total of $132,000

between January, 2005 and May, 2009.


The worker was employed on a casual basis to drive a truck and refuel aircraft at

the airport.


The Fair Work Ombudsman claims that on hundreds of occasions Mr Chiswell

called the employee in for duty for only one hour of paid work.


However, the regulator alleges the employee should have received a minimum

four hours’ payment per shift.


Mr Chiswell also allegedly underpaid the employee’s minimum hourly rate.


Court documents allege Mr Chiswell usually paid the employee - aged in his 40s -

a flat hourly rate of $20 for shifts commencing before 6am and $15 for all others. 


The Fair Work Ombudsman claims the employee should have been paid up to $24

an hour on weekdays, up to $39 an hour for weekends and overtime and up to

$59 an hour for public holidays.    


The Agency alleges that the employee should have been paid a total of $210,132

between 2005 and 2009, compared with the actual $77,596 he received.


Fair Work inspectors discovered the alleged underpayment after investigating a

complaint lodged by the employee.


Mr Chiswell reimbursed the worker $9500 after being contacted by inspectors, but

it is alleged that $123,036 in back-payments remain outstanding.  


Fair Work Ombudsman Executive Director Michael Campbell says the decision to

prosecute was made because of the significant amount involved and the failure of

the employer to fully rectify the matter.


The Fair Work Ombudsman alleges Mr Chiswell has committed multiple breaches

of workplace laws. 


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People Feature Fair Work Ombudsman 2 image






Fair Work Infoline: 13 13 94 


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He faces a maximum potential penalty of $6600 per breach.


The Fair Work Ombudsman is seeking a Court Order for Mr Chiswell to back-pay

money allegedly still owing to his former employee.


The Fair Work Ombudsman promotes harmonious, productive and co-operative

workplaces. It also monitors compliance and investigates breaches of national

workplace laws.


Employers or employees seeking assistance should contact the Fair Work Infoline

on 13 13 94 or visit www.fairwork.gov.au For translations call 13 14 50.






Media inquiries: 


Craig Bildstien, Director Media & Stakeholder Relations. 0419 818 484.

craig.bildstien@fwo.gov.au


Ryan Pedler, Senior Adviser Media & Stakeholder Relations. (03) 9954

2561, 0434 365 924. ryan.pedler@fwo.gov.au






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