Fair Work Ombudsman
Citation: FWO-2023-05-03-klinsic-constructions-penalty-media-release
At a glance
- Respondent
- Klinsic Constructions Pty
- Penalty
- $22,743
- Employees affected
- 1
- Awards cited
- MA000047, MA000048
What happened
Klinsic Constructions Pty, a Sydney-based residential building and construction company, and its director, John Klinsic, have been penalized by the Federal Circuit and Family Court. This followed a failure to comply with a Compliance Notice regarding back-payments to a young carpenter employed between January 2019 and July 2021. The worker, aged 23 to 25, was underpaid minimum hourly rates, redundancy entitlements, and payment-in-lieu-of-notice. The company back-paid $18,053 after the Fair Work Ombudsman initiated legal action. The investigation began after a request for assistance from the worker.
What was decided
The Federal Circuit and Family Court imposed a $18,981 penalty on Klinsic Constructions Pty and a $3,762 penalty on John Klinsic. The court found Mr. Klinsic’s conduct to be ‘antagonistic’ and ‘wilful’, including disrespectful communication with the Fair Work Ombudsman and his legal representatives. The judge noted that compliance with the Compliance Notice would have avoided the proceedings. The penalties are intended to deter future non-compliance with workplace laws and protect young workers. The worker received $18,053 in back-payments.
What it means for employers
Employers must act on Compliance Notices issued by the Fair Work Ombudsman. Failure to do so can result in significant court-imposed penalties. Protecting young workers is a priority for the FWO. Directors can be held personally liable for company breaches.
What it means for employees
Employees concerned about their pay or entitlements should contact the Fair Work Ombudsman for free advice and assistance. Young workers are a particular focus for the FWO’s enforcement activities.
Every statement above is drawn from the published decision. Read the original here:
https://www.fairwork.gov.au/newsroom/media-releases/2023-media-releases/may-2023/20230503-klinsic-constructions-penalty-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 →