Fair Work Infoline: 13 13 94
Media Release
9 Feb 2010
Security contractor faces court for allegedly
underpaying workers $23,000
The Fair Work Ombudsman has launched a prosecution against a NSW security
contracting company and its director for allegedly underpaying two workers more
than $23,000.
Facing court is Essendene Security Pty Ltd, based in Nelson Bay, and the
companys manager and sole director John Richard Ryan, of Mallabula.
Documents lodged in the Federal Magistrates Court in Sydney allege that the
company underpaid two security staff $10,864 and $9630 in 2007-2008.
The Fair Work Ombudsman says that when Essendenes workplace agreements
failed the Fairness Test, the company failed to fully back-pay the workers.
One of the two was also allegedly underpaid a further $2775 in weekend and
overtime pay.
While Essendene has reimbursed some money, its alleged back-payments of
more than $19,000 remain outstanding.
Fair Work Ombudsman Executive Director Michael Campbell says the decision to
prosecute was made because of the significant amounts involved and the
employers failure to fully rectify the matter.
The maximum penalty per breach is $33,000 for Essendene and $6600 for Mr
Ryan.
The Agency is also seeking a Court Order for back-payment of the money
allegedly still owed. The case is listed for a directions hearing on February 19.
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
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