The Fair Work Ombudsman has secured $21,978 in penalties in court against the former operators of a water management and drainage supplies business.
The Federal Circuit and Family Court imposed a $18,315 penalty against H-TEQ Pty Ltd, which formerly operated 'Hydro Construction Products' at various locations in Queensland, New South Wales and Victoria.
The court also imposed a $3,663 penalty against the company's sole director, Ian Robert Turner.
The penalties were imposed in response to the company failing to comply with a Compliance Notice requiring it to calculate and back-pay entitlements owed to a full-time warehouse storeperson at a warehouse in Minto, in Sydney's south-west, between April 2019 and March 2021. Mr Turner was penalised for his involvement in the contravention.
In addition to the penalties, the Court has ordered H-TEQ Pty Ltd to pay $4,233 to the worker, including 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 pay workers outstanding amounts owed under Compliance Notices.
"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 substantial penalties in addition to the need to pay workers amounts required by such notices," Ms Booth said.
"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.
A Fair Work Inspector issued a Compliance Notice to H-TEQ Pty Ltd in February 2022 after forming a belief the worker was not paid accrued but untaken annual leave entitlements when his employment ended, owed under the Fair Work Act's National Employment Standards.
In his judgment, Judge Gregory Egan noted it was important to deter other employers from similar conduct in the future.
"It is important that all businesses, big and small, comply with workplace relations legislation, and that they be deterred from breaching such legislation," Judge Egan said.
