Around 50 retailers across six Australian cities have been targeted in a record-keeping blitz by the Fair Work Ombudsman, with some being slapped with fines.
Businesses across sectors that engage vulnerable workers were assessed in Hobart, Adelaide, Melbourne, Sydney, Perth and Cairns – generally in each city’s central business district. This included mobile phone repair shops, discount stores, independent butcher shops and bakeries, specialty grocery stores, florists and drycleaners.
The regulator has also been targeting hair and beauty salons, beauty supply shops, and car wash businesses.
Businesses were selected for inspections based on contacts to the FWO, such as anonymous reports and enquiries, as well as where previous investigations into the business had been conducted by the FWO.
Inspectors checked time and wage records, and employee pay slips, to ensure that workers were being paid their correct wages and entitlements.
Acting Fair Work Ombudsman Michael Campbell said that the types of businesses targeted often engaged workers who can be vulnerable to exploitation.
“Workplace breaches that involve migrant workers and young workers can be particularly serious,” Campbell said. “We find these workers are often unaware of their workplace rights or unwilling to speak up if something seems wrong.
“It is crucial visa holders know that they have the same workplace rights as all other workers, and protections for visas exist if they call out workplace exploitation. We urge workers with concerns about wages and entitlements to reach out to us.”
Campbell said a lack of records or poorly maintained records often indicated workplace breaches such as underpayments.
“Record-keeping is the bedrock of compliance and must be taken seriously,” he said. “Fair Work Inspectors have handed out Infringement Notices – which are similar to on-the-spot fines – when employers were not meeting their legal obligations.”
Currently, Infringement Notices can be issued to an employer with a maximum of $1,878 per contravention for an individual and $9,390 per contravention for a body corporate.
“We much prefer that employers get it right in the first place,” Campbell said. “Pay slips provide employees with the clarity they need about their pay, and accurate record-keeping makes it easier to keep track of employee details, identify payroll mistakes and keep a business running efficiently.
“Employers should access our free tools and resources to ensure they’re meeting their obligations, or contact the FWO directly for free advice.”
The regulator issued 760 Infringement Notices nationally in 2023–24, with penalties paid totalling $986,616, an increase from 626 INs in 2022–23 that yielded $739,966.