A Gold Coast crackdown by the Fair Work Ombudsman (FWO) has found a Surfers Paradise nightclub underpaid 54 workers to the tune of $63,200.
The FWO said the nightclub employees were underpaid minimum hourly rates, as well as their weekend and late-night penalty rates, over a period of 12 months in 2012-13. The club was ordered to pay back each of the 54 employees an average $1,170.
“It is important for Gold Coast employers to ensure they are fully aware of their obligations under workplace laws, otherwise they can end up facing unexpected bills for back-payment of wages, as occurred here,” Fair Work Ombudsman Natalie James said.
Ms James said that the business managed to avoid enforcement action by cooperating with FWO inspectors.
“When we find employers who have made inadvertent mistakes, our preference is to educate them about their obligations and work with them to resolve the issues,” Ms James said.
“This is an example of a fair, reasonable and proportionate response to employers who admit their mistakes, fix them promptly and put systems in place to ensure the errors are not repeated in the future.”
Over $111,000 in underpayments was found by the FWO in Queensland’s Gold Coast, including $15,700 recovered for 31 employees at a cleaning business underpaid minimum hourly rates in 2012-2013.
Other underpayments found include $14,000 for a hairdresser underpaid minimum hourly rates as an apprentice and then as a qualified hairdresser from 2009 – 2012; $7,300 for a clerical worker underpaid minimum hourly rates at a training organisation; $6,000 for an employee at a medical clinic who was not paid wages in lieu of notice and required entitlements upon termination; and $5,200 for 10 fast food employees underpaid minimum hourly rates at a takeaway business in 2013 and 2014.
“These underpayments were genuine mistakes and it was pleasing to see all business owners accept assistance from inspectors to put processes in place to ensure ongoing compliance with workplace law,” Ms James said, pointing out that no business saw further action taken after they fully reimbursed their employees.
