More than 50 employers self-reported underpaying employees in the past year, the Fair Work Ombudsman's annual report shows. Meanwhile unfair dismissal claims have spiked in the Fair Work Commission, and general protections claims are now more common than EA approval applications.
The Federal Circuit Court has awarded 48 former Macquarie Bank employees more than $1.3 million in compensation for underpayments, while describing their claim as "rapacious" with "an element of double dipping".
The CEO of an HR services provider who was sacked for serious misconduct is claiming her dismissal was unlawful adverse action. And IBM is backpaying its employees more than $12m after failing to ensure its annualised salary arrangements complied with all relevant modern awards.
Another employer has entered into a court-enforceable undertaking to avoid prosecution, backpaying more than $8 million to 1,238 workers, with more to come.
An employer and its two directors have been ordered to pay a worker more than $142k in penalties and unpaid wages, with the Federal Circuit Court labelling them "captains on what was a very poorly crewed vessel". In related news, another employer must pay a worker $78k.
An employer that required workers to turn up early for their shifts without payment and to "volunteer" for overtime has been fined $65k, with a tribunal describing its Fair Work Act breaches as brazen and reckless.
An aged care provider has entered into a court-enforceable undertaking and is backpaying more than $3 million after identifying it underpaid its employees.
KFC has undertaken an 18-month project to overhaul its payroll systems, to ensure it doesn't inadvertently become the next employer embroiled in an underpayments scandal.
The Fair Work Ombudsman will now approach compliance and enforcement with greater flexibility as a result of "dramatically changed economic conditions" caused by the coronavirus.
The ABC is backpaying $12 million plus a $600k contrition payment after underpaying nearly 2,000 employees. Also in this article, ACCC allegations against a workplace advisor; minimum wages rise; and more.
Costly legal disputes continue to highlight the many risks employers face when managing, disciplining, or dismissing employees while they are absent, injured or incapacitated. Attend this webinar for an up-to-date review of the legal framework applying to workplace absenteeism, injury and incapacity, and lessons from recent case law.
