The operator of a Sydney cleaning company has been penalised more than $10,000 for refusing to back-pay $2943 in underpayments to two Filipino workers who were in Australia on student visas.
Following legal action by the Fair Work Ombudsman, cleaning operator Michael Girowal was penalised $1890 and his company Green Clean (Aust) was penalised a further $9450 in the Federal Circuit Court.
‘Girowal and his company received the penalties for failing to comply with a Compliance Notice issued by the Fair Work Ombudsman requiring them to rectify $2943 in underpayments of two employees. Under the Fair Work Act, business operators must adhere to Compliance Notices or make a Court application for a review if they are seeking to challenge a Notice’.
Fair Work Ombudsman Natalie James said that “extensive efforts were made to resolve the matter outside of the Court, but Girowal’s refusal to co-operate meant legal action was the only option”.
[quote]”This operator could have saved himself a lot of time and money by co-operating with the Fair Work inspectors who investigated this matter,” stated Ms James. “The clear message to employers is that if you short-change employees and then thumb your nose at Fair Work inspectors, you do so at your own peril. We are prepared to take legal action against employers who refuse to engage with us and matters involving underpayment of visa holders are treated particularly seriously.”[/quote]
‘Girowal paid the employees a flat rate of $20 an hour between December 2014 and January 2015, resulting in underpayment of the minimum hourly rates, penalty rates and an allowance they were entitled to under the Cleaning Services Award. He also failed to pay their accrued annual leave entitlements and pay in lieu of notice of termination when he terminated their employment without notice’.
It was only after the Fair Work Ombudsman commenced litigation that Mr Girowal back-paid the employees.