Fair Work Ombudsman
Citation: FWO-2023-05-12-uniting-agewell-eu-media-release
At a glance
- Penalty
- $3,500,000
- Employees affected
- 4971
What happened
Uniting AgeWell Limited, a not-for-profit aged care provider, self-reported underpayments to the Fair Work Ombudsman in September 2021. A review revealed incorrect interpretation of enterprise agreements, rostering issues, and failure to pay correct penalty rates and allowances. Between 2015 and 2021, 4,971 employees across Victoria and Tasmania were underpaid a total of approximately $3.5 million, plus $127,640 in superannuation. The company has back-paid 4,224 current and former employees, with the remaining rectifications to follow. Affected roles included nurses, bus drivers, chefs, and social workers.
What was decided
Uniting AgeWell Limited has signed an Enforceable Undertaking (EU) with the Fair Work Ombudsman after self-reporting underpayments. The company has back-paid approximately $3.5 million in underpayments, including interest and superannuation, to affected employees. The EU requires Uniting AgeWell to implement compliance measures, including an independent audit and workplace training for staff. Fair Work Ombudsman Sandra Parker stated the EU was appropriate due to the company’s cooperation and commitment to rectifying the situation. The company must also rectify the remaining underpayments in coming months.
What it means for employers
Employers must ensure they correctly interpret enterprise agreements and comply with workplace laws. Regular audits of rostering and pay practices are essential to prevent underpayments. Investing time and resources to understand and meet lawful entitlements, including overtime and penalty rates, is crucial.
What it means for employees
Employees who worked for Uniting AgeWell between 2015 and 2021 may be entitled to back-payments. Employees should review their pay records and seek advice from the Fair Work Ombudsman if they suspect underpayment. Free advice and assistance are available through the Fair Work Infoline.
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-2023/20230512-uniting-agewell-eu-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 →