Underpayment of or failure to pay penalty rates emerges as most reported violation
The Fair Work Ombudsman (FWO) has announced that it recovered $769,475 in unpaid wages from dozens of employers for 379 food outlet employees in Perth.
In a statement, the FWO said the highest amount recovered from an employer was $77,673, which was for 53 employees who had not received the right weekend penalty rates, casual loading, and base rates of pay.
The recovery in underpayment comes after the FWO carried out surprise inspections in Belmont, Victoria Park, and East Victoria Park last year following anonymous reports.
A total of 46 businesses were investigated, according to the FWO. There have been 41 investigations finalised so far, where 38 businesses were found non-compliant with workplace laws.
The most common offences reported among the businesses include:
- Underpayment of or failure to pay penalty rates (committed by 33 businesses)
- Failure to pay correct minimum wages for ordinary hours (33 businesses)
- Not meeting their employees' leave entitlements (13 businesses)
Another 25 businesses were also found committing the first two most common breaches, according to the FWO.
A total of 38 Compliance Notices were issued to recover $742,658 for 359 workers. Another 13 Infringement Notices for payslip and record-keeping breaches were also issued, with fines totalling $38,380.
"These disappointing Perth findings are part of a national food precincts program where we've often found that low-cost dining comes at the expense of workers' lawful wages," said Fair Work Ombudsman Anna Booth in a statement.
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She stressed that employers must follow all wage laws, including penalty rates.
"Employers should access our wide range of free online tools and resources to ensure they're meeting their obligations or contact the FWO directly for free advice. We want to help businesses in the food sector get it right in the first place," Booth said.