WORKER OWED $22,000 AFTER PAY RATE BUNGLE

Written on the 18 January 2016

WORKER OWED $22,000 AFTER PAY RATE BUNGLE

AN Adelaide worker who was underpaid for almost seven years will receive $22,000 in back pay, following an intervention by the Fair Work Ombudsman.

The receptionist and shop assistant was paid $15 an hour at a retailer on the Fleurieu Peninsula - the same rate as when she started as an 18-year-old in 2008.

The employee contacted Fair Work after training a new team member who told her she was being paid $23.50 an hour. Under the General Retail Award, she should have been paid $23.15 an hour on weekdays and $25.01 on Saturdays.

Fair Work Ombudsman Natalie James says the case demonstrates how important it is to periodically review pay rates.

Rates generally increase on July 1 each year following the Fair Work Commission's Annual Wage Review decision.

"Underpayment of hourly rates can result in employees being significantly underpaid if left unchecked for an extended period, which can leave businesses facing big back payments they weren't budgeting for," James says.

"Employers need to be aware that the Annual Wage Review decision increases not onlythe national minimum wage, but also base rates of pay in modern awards and enterprise agreements."

The business has agreed to back pay the former employee in instalments.

 


Latest News

STAFF CHURN BLAMED FOR MCGRATH EARNINGS DOWNGRADE

MCGRATH will fail to meet earnings forecasts after some of its star real estate agents defected to growing Perth firm...

MCBAIN RESIGNS AS BELLAMY'S DIRECTOR WHILE THIRD CLASS ACTION MOVES CLOSER TO SECURING FUNDING

LAURA McBain (pictured) has resigned as a director of Bellamy's Organic (ASX: BAL) today, effective immediatel...

REDBUBBLE TO MISS IPO FORECASTS

REDBUBBLE, the online marketplace for independent artists, will miss a series of forecasts set out in its IPO in its ...

BLUESCOPE CONTINUES STRONG RUN WITH GUIDANCE UPGRADE

BLUESCOPE Steel (ASX: BSL) is trading up 7.51 per cent at $11.16 per share after upgrading its half-year guidance thi...

Related News

CARSALES CEO RETIRES AS NEW COMPETITOR COX FINALISES MERGER

CARSALES will have a new CEO as it takes on a fresh challenger to its crown as the dominant online car sales portal i...

BUSINESS CONFIDENCE AT A SIX-YEAR HIGH

SMALL and medium businesses have entered 2017 with their confidence at a six-year high, building on strong gains m...

CONSUMERS PESSIMISTIC ENTERING 2017

CONSUMER confidence remains at its weakest point since April 2016, according to the latest Westpac Melbourne Institut...

RISE OF STARTUP SUPPORT PROGRAMS NOT AS ROSY AT IT SEEMS

ENTREPRENEURIAL cultivation companies in Australia are appearing quickly, but questions have been raised about whe...

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter