Fair Work Ombudsman v Sureguard Security Pty Ltd
Citation: [2017] FCA 1566
At a glance
- Penalty
- $81,270
- Employees affected
- 21
What happened
Sureguard Security Pty Ltd engaged security workers (casual and permanent) under the Security Services Industry Award 2010. The Fair Work Ombudsman investigated and found extensive contraventions: the company failed to pay minimum hourly rates, failed to pay casual loading to casual employees, failed to pay required night and weekend penalty rates, failed to pay overtime rates, failed to pay public holiday span penalties, and failed to pay broken shift allowances. These failures affected 21 named employees over the relevant period.
What was decided
The parties agreed to facts and declarations of contraventions of section 45 of the Fair Work Act (breaching the Security Services Industry Award). The court declared 14 separate categories of contraventions affecting various employees. Penalties totaling AUD $81,270 were imposed (broken down as: $9,450 for minimum rate breaches, $17,010 for casual loading, $13,230 for night penalties, $13,230 for span penalties, $18,900 for overtime, and $9,450 for broken shift allowances). The court also ordered compliance training.
What it means for employers
Security services employers must carefully calculate and pay all award entitlements including minimum rates, casual loading, penalty rates for unsociable hours, overtime, and special allowances. Systemic underpayment of multiple award entitlements to multiple employees attracts substantial penalties.
What it means for employees
Security workers covered by the Security Services Industry Award are entitled to minimum rates, casual loading (if casual), penalty rates for night work and weekend work, overtime rates, and special allowances. Workers who are underpaid should calculate what they are owed and seek recovery.
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https://www.judgments.fedcourt.gov.au/judgments/Judgments/fca/single/2017/2017fca1566Want more cases like this?
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This summary was drafted from the published decision and reviewed before publishing. It is general information, not legal advice. For your specific situation, speak to the Fair Work Ombudsman (13 13 94) or a qualified lawyer. About these summaries & corrections →