Operators allegedly failed to pay compensation to unfairly dismissed apprentice
The operators of two hairdressing salons in western Sydney are facing legal action for allegedly failing to pay compensation to a teenager whom it unfairly dismissed.
The Fair Work Ombudsman (FWO) filed the case against Hair & Co Pty Ltd, as well as its owner and sole director, Jalal El Hallak, for his involvement.
According to the FWO, the operators failed to pay the apprentice whom it unfairly dismissed in 2023 with $14,678 compensation, plus $1,541 superannuation, as previously ordered by the Fair Work Commission.
The FWO attempted to secure voluntary compliance, but it alleged that the compensation remains unpaid.
In its legal case, the FWO is seeking a court order to enforce the payment of the owed compensation and superannuation, along with interest.
"It is fundamental for the integrity of the workplace relations system that Fair Work Commission orders are complied with," said Fair Work Ombudsman Anna Booth in a statement.
"The Fair Work Ombudsman is prepared to take legal action to ensure that employees receive all compensation they are lawfully entitled to."
The legal proceedings could result in a fine of up to $82,500 for Hair & Co Pty Ltd, while El Hallak potentially risks facing a penalty of $16,500.
A directions hearing for the case has been scheduled for 19 February 2025 in the Federal Circuit and Family Court in Sydney.
The case stems from a FWC ruling that declared the apprentice's dismissal as harsh, unjust, and unreasonable, primarily because it stemmed from complaints about her pay, working conditions, and safety concerns, which were raised by her mother.
The FWC further concluded that the dismissal was retaliatory, sparked by apprentice's inquiries regarding her employment rights. It also rejected the employer's defence that the dismissal was in line with the Small Business Fair Dismissal Code, which provides guidelines for dismissing employees in small businesses.
Although reinstatement was deemed inappropriate due to the evident breakdown in trust, the FWC ruled that the apprentice was entitled to compensation for the unfair dismissal.
