Former operators of greengrocer penalised
The Fair Work Ombudsman has secured $7,992 in penalties in court against the former operators of a greengrocer in Melbourne’s east for a breach affecting a young international student.
The Federal Circuit and Family Court has imposed a $6,660 penalty against Nilkanth Enterprise Pty Ltd, which operated ‘Strawberry Point’ in Forest Hill, and a $1,332 penalty against the company’s owner and sole director, Ashvinkumar Mavjibhai Chavan.
The penalties were imposed in response to Nilkanth Enterprise failing to comply with a Compliance Notice requiring it to calculate and back-pay entitlements owing to a casual retail assistant it employed from May 2021 to May 2022.
Mr Chavan was involved in the contravention.
The worker, aged between 21 and 23 at the time of employment, was an international student from India.
Nilkanth Enterprise back-paid the worker a total of $5,474 only after the Fair Work Ombudsman commenced legal action.
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 will continue to take legal action to protect employees. Employers who fail to act on these notices risk penalties and back-pay orders,” Ms Booth said.
“Employers should also be aware that taking action to protect young and migrant workers is among our top priorities. 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.
A Fair Work Inspector issued a Compliance Notice to Nilkanth Enterprise in October 2022 after forming a belief that the company had underpaid the worker’s casual minimum wage and weekend penalty rates, owed under the General Retail Industry Award 2020.
Judge Janine Young found that Nilkanth Enterprise and Mr Chavan had “demonstrated a disregard for their obligations” and there was a need to impose penalties to deter them and others from similar contraventions in future.
“There is a need for general deterrence in this matter, to emphasise the importance of an effective compliance framework and at a sufficient level to impress upon other employers the importance of complying with the legal obligations owed to their employees,” Judge Young said.
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. Employees can also seek information from their employer or their union, if they are a member.
The FWO also has resources on our website for visa holder workers and young workers and students.
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.
