Haven't Been Paid? Here's Exactly What to Do (Step by Step) [2026]
Your employer has not paid you. Follow this step-by-step guide to recover unpaid wages in Australia — from contacting your employer to FWO complaints, small claims, and the new wage theft laws.
Check your award or agreement first — know what you are owed
Before taking action, you need to know exactly what you should have been paid so you can identify the shortfall. Start by identifying your applicable award or enterprise agreement. Check your employment contract, your payslip (which should reference your award), or use the Fair Work Ombudsman's Find My Award tool at fairwork.gov.au. Once you know your award, verify your correct classification level, your minimum hourly rate for ordinary hours, any applicable penalty rates (weekends, public holidays, overtime, late nights), shift loadings and allowances, and any leave entitlements that should have been paid. Calculate the total amount you are owed by comparing what you should have received against what was actually paid. Check multiple pay periods — if the underpayment is systematic, it may go back months or years. Under the Fair Work Act, you can recover underpayments going back up to 6 years. Use our Back Pay Calculator to work out what you are owed across multiple pay periods. Having exact figures strengthens your position and prevents the employer from disputing the amount.
Step 1 — Contact your employer in writing
The first step is to raise the issue directly with your employer. While this may seem daunting, many underpayment cases result from genuine payroll errors, system glitches, or misunderstandings about award coverage. Send an email (not a text, not a verbal conversation) to your employer or payroll department stating: the pay period(s) affected, the amount you believe you are owed, the basis for your claim (referencing your award or agreement and the specific rates that should have applied), and a request for the shortfall to be paid by a specific date (give them a reasonable timeframe — 7 to 14 days). Keep the tone professional and factual. An example: 'I am writing regarding my pay for the period [dates]. Based on the [Award Name], my classification is [Level X], which attracts a minimum rate of $[X] per hour. My payslip shows I was paid $[Y] per hour. I believe I am owed $[Z] for this period. Could you please review this and arrange payment by [date]? I have attached the relevant pay rate schedule from the FWO website for reference.' If the employer corrects the error, the matter is resolved. If they do not respond or refuse, move to Step 2.
Step 2 — Lodge a complaint with the Fair Work Ombudsman
If your employer does not resolve the issue, lodge a formal complaint with the Fair Work Ombudsman (FWO). You can do this online at fairwork.gov.au or by calling 13 13 94. The FWO complaint process involves completing an online form describing the underpayment, providing supporting documents (payslips, employment contract, your calculations), and the FWO assessing the complaint and deciding whether to investigate. The FWO has the power to investigate employers, issue compliance notices requiring the employer to pay the shortfall, commence legal proceedings against non-compliant employers, and seek penalties for deliberate underpayment. The FWO service is free and confidential. It is unlawful for your employer to take adverse action against you for making a complaint — if they do, this is a separate contravention carrying additional penalties. Processing times vary, but the FWO typically contacts the employer within a few weeks and attempts to resolve the matter through mediation before proceeding to enforcement. For urgent cases (such as no pay at all, not just underpayment), emphasise the urgency when lodging your complaint.
Step 3 — Small claims court or Federal Circuit Court
If the FWO process does not resolve the matter, or if you prefer to take direct legal action, you can pursue your claim through the courts. The small claims procedure (section 548 of the Fair Work Act) is available for claims up to $100,000. It is designed to be accessible without a lawyer — the proceedings are informal, rules of evidence are relaxed, and costs are generally not awarded against unsuccessful applicants. You file the application in the Federal Circuit and Family Court, pay a modest filing fee, and attend a hearing where a judge determines the matter. For claims above $100,000, standard Federal Circuit Court or Federal Court proceedings apply. These are more formal and you should consider legal representation. To prepare your small claims application, gather: all payslips for the relevant period, your employment contract, the applicable award or enterprise agreement, your calculations showing the underpayment, any correspondence with the employer about the issue, and your bank statements showing actual payments received. Many community legal centres and unions can assist with preparing small claims applications at no cost.
Wage theft is now a criminal offence in Australia
Since 1 January 2025, intentional wage underpayment has been a criminal offence under the Fair Work Act. This represents a fundamental shift in how Australia treats employers who deliberately steal from their workers. The criminal wage theft provisions (Part 3-5A) apply when an employer intentionally engages in conduct that results in a failure to pay an amount owed to an employee under the Fair Work Act, a fair work instrument (award or enterprise agreement), or a transitional instrument. The penalties are severe: for individuals (including company directors), up to 10 years imprisonment and/or fines of up to $1.565 million; for corporations, fines of up to $7.825 million or three times the underpayment amount, whichever is greater. The key word is intentional — honest mistakes and inadvertent errors are not criminal offences. But deliberate and systematic underpayment, knowingly applying the wrong award rate, deliberately miscalculating hours, or intentionally failing to pay penalty rates are all captured. Employers can access a Voluntary Small Business Wage Compliance Code and a cooperation pathway to self-report and rectify underpayments without criminal prosecution. If you believe your employer is intentionally underpaying you, the FWO can refer the matter to the Commonwealth Director of Public Prosecutions.
Emergency financial assistance if you have not been paid
If you have not been paid and are in immediate financial difficulty, there are emergency options available. Centrelink Crisis Payment — if you are in severe financial hardship due to non-payment of wages, you may be eligible for a crisis payment. Contact Services Australia on 13 28 50. Centrelink Special Benefit — this is a discretionary payment for people in financial hardship who are not eligible for other income support. Advance payments — if you are already receiving a Centrelink payment, you may be able to request an advance. Hardship provisions with creditors — if you cannot pay rent, utilities, or other bills because of unpaid wages, contact your creditors and explain the situation. Most utility companies and banks have hardship teams that can offer temporary payment plans. Community assistance — organisations like the Salvation Army, St Vincent de Paul, Anglicare, and the Smith Family provide emergency food, utility assistance, and financial counselling. No Interest Loan Scheme (NILS) — provides interest-free loans for essential expenses. Financial Counselling Australia (1800 007 007) provides free financial counselling. Your unpaid wages are a debt owed to you by your employer. While pursuing recovery, you may also be able to claim interest on late payments if your award or agreement provides for it.
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General information and estimates only — not legal, financial, or tax advice. Always verify with the Fair Work Ombudsman (13 13 94) or a qualified professional.
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