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Underpaying your staff? You will be caught – seek guidance today!

UnderpaymentsDecember 17, 2014

Underpaying your staff? You will be caught – seek guidance today! (Last Updated On: December 17, 2014)

A Bendigo restaurant faces court for allegedly underpaying nine casual and part-time employees more than $10,000. The two owners of the restaurant are now looking at penalties of up to $61,200 as a result.

The Fair Work Ombudsman (FWO) alleges that nine casual and part-time employees were underpaid a total of $10,815 between October, 2012 and September 2013. They have been paid flat rates as low as $10.50 an hour.

It is alleged the lawful minimum hourly rates were $13.56 to $14.87 for the junior employees and $15.96 to $17.49 for the adult employees, with additional penalty rates payable for weekend, public holiday and night work.

Of the 9 employees, three are teenagers and one is an Indian national visa-holder.

“The involvement of young workers and an overseas worker is an aspect of this case we treat very seriously because these workers can be vulnerable if they are not fully aware of their entitlements or are reluctant to complain,” said Natalie James from FWO.

Natalie also said inspectors made significant efforts to engage with the restaurant operators to try to resolve the underpayments by agreement, but were unable to secure sufficient co-operation.

The restaurant will face the federal court in February 2015.

Employers must pay their staff correctly and abide by all workplace laws. There are no buts about it.

If you are unsure if you are currently paying your staff correctly, call Employsure today on 1300 651 415 or fill in the form below.

Employsure can do a complete review of your pay structure and provide solutions to ensure that you are compliant.

*Information sourced via the Fair Work Ombudsman website.

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