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The FWO is prioritising action to uphold the rights of vulnerable workers from overseas, it says.
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IT company fined for short-changing visa engineer
05 May 2023
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10 minute read
A Gold Coast-based IT services company has been hit by more than $37,000 in penalties and back-pay orders after failing to comply with FWO notices concerning a worker here on a visa.
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Vertebral Pty Ltd was told to back-pay entitlements to a worker from the United Arab Emirates who was employed as a network engineer during 2020 but the company and its director, Yasien Adams, took no action.
The Federal Circuit and Family Court imposed a $4,000 fine on the director, a $20,000 penalty against the company and ordered it to back-pay the worker a total of $13,467, plus interest and superannuation.
The FWO investigated after receiving a request for assistance from the affected worker.
A Fair Work Inspector issued the compliance notice in December 2021 after forming a belief Vertebral Pty Ltd had underpaid the worker’s minimum wages, payment-in-lieu of notice-of-termination entitlements and annual leave entitlements under the Professional Employees Award 2010, the Professional Employees Award 2020 and the Fair Work Act’s National Employment Standards.
Fair Work Ombudsman Sandra Parker said business operators that failed to act on compliance notices needed to know they could face penalties in court on top of having to back-pay workers.
“When compliance notices are not followed, we are prepared to take legal action to ensure workers receive their lawful entitlements,” Ms Parker said.
“Employers also need to be aware that taking action to protect vulnerable workers, like visa holders, continues to be a priority for the agency. Any employees with concerns about their pay or entitlements should contact the FWO for free assistance.”
The Fair Work Ombudsman has an agreement with the Department of Home Affairs, called the Assurance Protocol, where visa holders with work rights can ask for help without fear of visa cancellation.
In another action, the FWO secured a total of $18,000 in court penalties against the former operators of a restaurant in Sydney’s inner-west over wages owed to an international student.
The student was employed as a causal cook during 2020 and requested help from the FWO, which issued a complaince notice to Zenobia Trading, which operated Zenobia Lebanese Cuisine in North Strathfield, ordering it to make back-payments.
Zenobia’s sole director, Jorge Ballas, was given a $3,000 fine by the Federal Circuit and Family Court while it imposed a $15,000 penalty against Zenobia.
The court also ordered Zenobia to repay the worker in full, plus interest and superannuation.
“Employers also need to be aware that taking action to improve compliance in the fast food, restaurant and café sector and protecting vulnerable workers like visa holders are enduring priorities for the FWO,” Ms Parker said.
“Visa holders have the same workplace rights as any other employee.”
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