Installation and fit-out business penalised

19 October 2023

The Fair Work Ombudsman has secured $24,275 in penalties in court against a company that operates a domestic and commercial installation and fit-out business in Victoria.

The Federal Circuit and Family Court has imposed the penalties against Turn-Key Fitout Pty Ltd, which is based in Melbourne.

The penalties were imposed in response to Turn-Key Fitout failing to comply with a Compliance Notice requiring it to calculate and back-pay entitlements to a junior cabinet maker, aged between 19 and 20 years old, and for breaching pay slip laws.

The Court also ordered Turn-Key Fitout take the action required by the Compliance Notice, which includes back-paying the worker in full, plus superannuation and interest.

Fair Work Ombudsman Anna Booth said business operators that fail to act on Compliance Notices need to be aware they can face penalties in court on top of having to back-pay workers.

“When Compliance Notices are not followed, we are prepared to take legal action to ensure workers receive all their lawful entitlements,” Ms Booth said.

“Employers also need to be aware that taking action to protect vulnerable workers, like young workers, is a priority for the FWO. Any employees with concerns about their pay or entitlements should contact us for free advice and assistance.”

The FWO investigated after receiving a request for assistance from the affected worker who had been employed by Turn-Key Fitout on a full-time basis between May 2020 and May 2021.

A Fair Work inspector issued a Compliance Notice to Turn-Key Fitout in September 2021 after forming a belief that the worker was underpaid wages and annual leave entitlements under the Timber Industry Award 2010, the Timber Industry Award 2020 and the Fair Work Act’s National Employment Standards.

In imposing penalties, Judge Catherine Symons found that the company “has not taken any steps that might indicate an attitude of regret”, and that the company demonstrated an “indifferent attitude” to the Compliance Notice.

“The attitude of the respondent reinforces the need in this case for specific deterrence,” Judge Symons said.

Judge Symons found that there was also a need to impose penalties to deter other employers from similar conduct in the future.

“There is a need to send a message to other employers and prospective employers, including those that operate within the wood product manufacturing industry, that a failure to comply with a Compliance Notice without reasonable excuse, is a serious matter that warrants censure.”

Employers and employees can visit www.fairwork.gov.au or call the Fair Work Infoline on 13 13 94 for free advice and assistance about their rights and obligations in the workplace. An interpreter service is available on 13 14 50.

The FWO provides a free online course to help employers understand what a Compliance Notice is and how to respond if they get one. The Compliance Notice course, among a suite of free interactive courses on offer for employers, managers and employees, is available in our online learning centre.

Small businesses can find targeted resources at the Small Business Showcase and information is available for employees and employers at our young workers and students webpage.

Follow the Fair Work Ombudsman @fairwork_gov_au or find us on Facebook www.facebook.com/fairwork.gov.au.

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Media inquiries:

Danna, 0499 261 162, media@fwo.gov.au