The Fair Work Ombudsman has secured a total of $77,400 in penalties in court against the operators of a furniture removal and storage business in Melbourne.
The Federal Circuit and Family Court has imposed $64,800 in penalties against Avant-Garde Logistics Solutions Pty Ltd, which trades as Apex Logistics, and $12,600 in penalties against former company director Yaping Li.
The penalties were imposed in response to Avant-Garde Logistics Solutions Pty Ltd failing to comply with Compliance Notices requiring it to calculate and back-pay entitlements to four workers it had employed. Ms Li was involved in the contraventions.
The four workers included three employed as general hands and one driver. One of the general hands was aged 19 at the time of employment and another was a visa holder from Nepal.
The Court has also ordered the company to comply with the Compliance Notices, which includes back-paying the workers in full, plus superannuation and interest.
Fair Work Ombudsman Sandra Parker 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 their lawful entitlements," Ms Parker said.
"Employers should also be aware that taking action to protect vulnerable employees, such as young and migrant workers, is a priority for the agency. Any employees with concerns about their pay or entitlements should contact us for free advice and assistance."
The FWO investigated after receiving requests for assistance from affected workers.
A Fair Work Inspector issued Compliance Notices to Avant-Garde Logistics Solutions Pty Ltd between March and June 2021 after forming a belief that the four workers had been underpaid.
The Fair Work inspector formed a belief that the workers were variously underpaid minimum rates, casual loadings, minimum-engagement pay and overtime entitlements under the Road Transport and Distribution Award 2020 between September 2020 and March 2021.
Judge Catherine Symons found that there was "no evidence in this case of any contrition, cooperation or corrective action" and there was a need to impose penalties to deter Ms Li, the company and other employers from similar conduct in future.
Judge Symons said that the company's and Ms Li's conduct "operates at the more serious end of the spectrum and warrants this Court's strong disapproval".
