The Fair Work Ombudsman (FWO) has secured $29,700 in penalties in court against the operators of a Tullamarine electrical services company for a breach affecting a young worker.
The Federal Circuit and Family Court has imposed a $24,750 penalty against New Switch Electrical and a $4950 penalty against the company’s sole director, Mark Ladores Tan.
The penalties were imposed in response to New Switch Electrical failing to comply with a FWO notice, which required it to calculate and back-pay a young worker’s entitlements.
Mr Tan was involved in the contravention, according to the FWO.
The company employed the worker between August 2021 and September 2022.
The worker, who was aged 23 to 24 at the time, was initially hired as a fourth-year apprentice and then became a full-time electrician.
In addition to the penalties, the court has ordered New Switch Electrical to take the actions required by the compliance notice, including calculating and rectifying any underpayments, plus superannuation.
FWO Anna Booth said employers that failed to act on compliance notices needed to be aware they could face court-imposed penalties on top of having to comply with the notice.
“When compliance notices are not followed, we are prepared to take legal action to ensure workers receive their lawful entitlements,” Ms Booth said.
“Employers also need to be aware that taking action to protect young workers, which can often include apprentices, and improving compliance in the building and construction sector are among our top priorities.
“Any employees with concerns about their pay or entitlements should contact the Fair Work Ombudsman for free assistance.”
The FWO investigated after receiving a request for assistance from the affected worker and issued a compliance notice to New Switch Electrical in December 2022.
In her judgment, Judge Catherine Symons said failing to comply with a compliance notice was a “serious matter.”
“This reflects the fact that there is a proper basis to find that neither respondent has demonstrated any insight or contrition around the failure to comply with the [Compliance] Notice and has not cooperated with the Ombudsman at any stage of the proceeding or at any stage prior to its commencement,” Judge Symons said.
