The Fair Work Ombudsman is currently conducting surprise inspections across agricultural businesses in outer Melbourne regions of the Mornington Peninsula and the Yarra Valley to ensure that workers are receiving their rightful wages.
Inspectors are requesting access to pay slips and employment records, to verify compliance with employment laws. This effort is part of the Fair Works Ombudsman’s Agriculture Strategy which launched in December 2021, and has targeted over 300 businesses across 15 regions of suspected high non-compliance.
Pay:
Employers must pay employees for all work they do, this includes training, meetings, and mandatory work activities. If employees aren’t paid correctly, employers can face significant penalties. The current maximum penalties imposed by the court are $18,780 per breach for an individual, $93,900 per breach for a company with less than 15 employees, or $469,500 per breach for a company with 15 or more employees. Where an employer knowingly or recklessly underpays their employee, a court can impose a penalty up to 10 times the original penalty for a ‘serious contravention’ under the Fair Work Act.
Piece Rates:
Pieceworkers who fall under the Horticulture Award are ensured a minimum wage. This guarantee dictates that for each day a pieceworker is employed, they must receive compensation equivalent to their hourly rate multiplied by the hours worked. The pieceworker’s hourly rate corresponds to the minimum hourly rate designated for their classification level. For casual employees, this encompasses the additional 25% casual loading.
Piecework Records
There are specific requirements for piecework records under the Horticulture award. If an employer hasn’t kept the right records, the Fair Work Ombudsman can issue infringement notices or seek penalties in court.
Migrant Workers
Migrant workers in Australia have the same entitlements and protections under the Fair Work Act, just like any other employee. If you employ a visa holder, it’s crucial to familiarise yourself with the visa rules and regulations. Certain visas impose restrictions on the number of hours an individual can work or the type of job they can perform.
Staying aware of the legislation and Awards, particularly around pay, piece rates, piecework records and migrant workers will help avoid penalties and cultivate an efficient and contribute to a happy work environment.
Are your pay rates industry compliant? If you need assistance determining correct pay rates for permanent or seasonal workers contact ProcessWorx on 08 9316 9896, enquiries@processworx.com.au. Also watch an Introduction to ProcessWorx.
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