The Fair Work Ombudsman has commenced legal action against the former operator of an auction house in the Lake Macquarie region, in regional New South Wales.
Facing court is sole trader Roberta O'Leary, who owned and operated a business trading as Treasure Island Auctions, at Rathmines.
The regulator investigated after receiving a request for assistance from a worker Ms O'Leary employed on a part-time basis between March 2021 and September 2022.
The worker, engaged as a 'coder and lotter', was responsible for photographing, researching and listing items on the business's database, among other tasks.
A Fair Work Inspector issued a Compliance Notice to Ms O'Leary in April 2023 after forming a belief that Ms O'Leary had underpaid the worker's minimum wages for ordinary hours and accrued but untaken annual leave entitlements at the end of employment, owed under the General Retail Industry Award 2020 and the Fair Work Act's National Employment Standards.
The Fair Work Ombudsman alleges Ms O'Leary, without reasonable excuse, failed to comply with the Compliance Notice, which required her to calculate and back-pay the worker's entitlements.
It is alleged the amount Ms O'Leary was required to pay to comply with the Compliance Notice was $5,422.
Fair Work Ombudsman Anna Booth said the regulator would continue to enforce workplace laws and take employers to court where lawful requests are not complied with.
"Where employers do not comply, we will take appropriate action to protect employees. A court can order an employer to pay penalties and make payments to workers," Ms Booth said.
"Any employees with concerns about their pay or entitlements should contact us for free advice and assistance."
The Fair Work Ombudsman is seeking a penalty in court for the alleged failure to comply with the Compliance Notice. Ms O'Leary faces a penalty of up to $8,250.
The regulator is also seeking an order for Ms O'Leary to pay the amount allegedly owing to the worker, plus superannuation and interest.
A hearing is listed in the Federal Circuit and Family Court in Sydney on 11 August 2025.
