Fair Work Ombudsman
Citation: FWO-2022-11-04-nq-powertrain-litigation-media-release
At a glance
- Respondent
- NQ Powertrain Pty Ltd
- Penalty
- $50,000
- Employees affected
- 87
What happened
The Fair Work Ombudsman has commenced legal action against NQ Powertrain Pty Ltd, a labour-hire company based in Far North Queensland. The company allegedly underpaid 87 visa holders employed under the Pacific Labour Scheme (PLS) and Seasonal Worker Programme (SWP) a total of $49,933 between December 2018 and May 2020. The alleged underpayments include unlawful deductions for accommodation and transport costs, as well as failing to pay correct Sunday overtime rates, time-off-in-lieu entitlements, and minimum-engagement pay. The workers, from countries including Papua New Guinea, Vanuatu, and Solomon Islands, performed farm work near Cairns. NQ Powertrain has rectified the alleged underpayments. The company ceased trading earlier this year.
What was decided
The Fair Work Ombudsman is seeking penalties against NQ Powertrain Pty Ltd for alleged contraventions of the Fair Work Act. The company faces penalties of up to $63,000 per contravention. A directions hearing is scheduled for December 1, 2022, in the Federal Circuit and Family Court in Brisbane. The Fair Work Ombudsman notes that no allegations are made against the farms where the workers were employed or the accommodation providers.
What it means for employers
Employers, particularly those utilising labour-hire arrangements and employing vulnerable workers like visa holders, must ensure compliance with workplace laws. This includes accurately calculating wages, avoiding unlawful deductions, and paying correct penalty rates and entitlements. The Fair Work Ombudsman prioritises protecting vulnerable workers and will take action against employers who fail to meet their obligations.
What it means for employees
Visa holders and other vulnerable workers should be aware of their workplace rights and entitlements. Employees who have concerns about their pay or entitlements should contact the Fair Work Ombudsman for free advice and assistance. Interpreter services are available.
Every statement above is drawn from the published decision. Read the original here:
https://www.fairwork.gov.au/newsroom/media-releases/2022-media-releases/november-2022/20221104-nq-powertrain-litigation-media-releaseWant more cases like this?
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This summary was drafted by AI 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 →