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FWO fines farm employers more than $78k

The Fair Work Ombudsman has issued fines worth more than $78,000 to growers and labour-hire providers in North West Victoria’s Sunraysia region, South Australia’s Riverland, and NSW’s Coffs Harbour and Grafton for breaching payslips and record-keeping laws in the last year.

FWO fines farm employers more than $78k
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FWO fines farm employers more than $78,000

In contrast, there have been high levels of compliance found in the Queensland growing regions of Wide Bay and Moreton Bay.

Since the regulator began its agriculture strategy in December 2021, it has investigated 237 businesses in hot spots across Australia where intelligence suggests non-compliance may be present.

Fair Work Inspectors have issued a combined 31 infringement notices (fines) totalling $35,964 in Sunraysia, $22,644 in the Riverland, and $19,754 in Coffs Harbour and Grafton.

Fair Work Ombudsman, Sandra Parker, said employers were expected to apply the rules correctly.

“Record-keeping is the bedrock of compliance. Employers who fail to meet these obligations are more likely to be underpaying, whether intentionally or not. It is concerning that Inspectors have needed to issue close to $80,000 in fines to employers who breached payslip and records laws,” Ms Parker said.

Fair Work Inspectors also issued six compliance notices to employers that the inspectors believed had underpaid workers under an award or had contravened the National Employment Standards. Of these, four were to employers in the Riverland and one was to an employer in each of Moreton Bay and the Sunraysia region.

All but one of the compliance notices related to underpayment of hourly rates. The other, in Mildura, was issued for failure to provide the Fair Work Information Statement to workers.

The Fair Work Ombudsman has investigations into more than 80 agriculture employers ongoing nationally.

In North West Victoria and the Riverland, where there has been less compliance so far found, site inspections identified employers not making and keeping the required records for pieceworkers. Some employers still used piecework agreements that referenced old award clauses and wrongly stated a piece worker would not be guaranteed a minimum rate of pay. Some workers were being paid group piecework rates, which is against the law.

Since the 28 April piece rate changes, about $11,000 in infringement notices have been issued nationally for deficient record-keeping specifically under the Horticulture Award.

Results summary so far — Moreton Bay, Wide Bay, Sunraysia, and Riverland

Overall, high compliance levels have been found in two Queensland locations. In Moreton Bay, from 38 finalised investigations, only one instance of non-compliance was found, leading to a compliance notice being issued to an avocado grower who rectified the minor underpayment. There are 12 investigations on foot.

In Wide Bay, from 36 finalised investigations, only one breach (a minor payslip error) was found. There are investigations into eight businesses still active.

So far, non-compliance has been found to be higher among finalised investigations in North West Victoria. Inspectors investigated 58 businesses in the Sunraysia region following site visits in August 2022 and have so far issued nine infringement notices, resulting in $35,964 of fines for payslip and record-keeping breaches, and one compliance notice. About 40 investigations remain ongoing.

In the Riverland, inspectors investigated 34 businesses following site visits in February and July this year. In addition to the 10 infringement notices totalling $22,644, inspectors issued four compliance notices. The regulator has 13 ongoing investigations in this hot spot.

Most recently, inspectors assessed 21 sites in the Whitsunday Coast, Queensland between November and December. Investigations are ongoing and further inspections will also take place.

The regulator’s proactive viticulture investigations, which are separate from the hot spot inspections, assessed 35 businesses following site inspections in March and April this year in Western Australia’s Margaret River, Victoria’s Yarra Valley, and South Australia’s Coonawarra. The FWO issued 12 infringement notices totalling $53,260 for record-keeping and payslip contraventions, plus five compliance notices requiring that underpayments believed to have occurred under the Wine Industry Award be rectified.

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