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Aussie workers repaid half a billion in lost wages

Sarah Swain
Sarah Swain

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Australian workers employed by big corporate names as well as universities have been given half a billion dollars they are owed in back pay.

The Fair Work Ombudsman said it recovered a total of $509 million for 251,475 underpaid workers in 2022-23.

More than half of the recoveries came from large corporate and university employers who together back-paid more than $317 million to more than 160,000 underpaid employees it said.

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University of Technology Sydney was among those who paid back payments, the FWO said. UTS / Facebook

The Ombudsman also entered into 15 enforceable undertakings with businesses, which covered a total of $40.3 million back-paid to employees.

These involved back payments of millions of dollars each from some of Australia's largest employers including Suncorp, Australian Unity, David Jones, Politix, Crown Melbourne and Perth, Charles Sturt University, the University of Newcastle and University of Technology Sydney.

Two cases against the University of Melbourne, cases against franchisors 85 Degrees Coffee and Bakers Delight Holdings, and proceedings against Super Retail Group and four subsidiaries are among 81 litigations it filed over the year.

All remain before the Federal Court.

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AFR SYDNEY.  GENERIC DAVID JONES SOLD SIGN RETAIL FIGURES DEPARTMENT STORES CHRISTTMAS SALE TRADE  Photo by Peter Rae. Friday 16 December, 2022

These involved back payments of millions of dollars each from some of Australia's largest employers including Suncorp, Australian Unity, David Jones. Peter Rae

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Fair Work Ombudsman Anna Booth said it had clawed back $1 billion in back payments in the past two years.

"The Fair Work Ombudsman has created a firmer culture of accountability and an environment that expects Australia's largest employers to prioritise compliance," Booth said.

"These efforts, including prioritising both the large corporates and university sectors, and combining stronger, targeted compliance and enforcement action across our work, have led to more wages returned to workers' pockets.

"Our investigations and enforcement actions send a clear message - all employers must place a higher priority on ensuring they are meeting all their workers' lawful entitlements, including by improving their payroll and governance and investing in advice."

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The agency secured nearly $3.7 million in court-ordered penalties in the year, it said.

Almost $1.5 million were from matters that included exploited migrant workers.

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