Fair Work Ombudsman
Citation: FWO-2023-06-22-crown-eu-media-release
At a glance
- Penalty
- $1,200,000
- Employees affected
- 200
What happened
Crown Melbourne and Crown Perth, casino and resort operators, have back-paid over $1.2 million to approximately 200 current and former employees. This followed self-reported underpayments to the Fair Work Ombudsman (FWO) in March 2020. An audit identified that employees were incorrectly classified as award-free, resulting in underpayment of penalty rates, minimum hourly rates, overtime, and paid leave rates between July 2014 and June 2020. Affected employees held roles such as hairdressers, chefs, and receptionists.
What was decided
Crown Melbourne and Crown Perth signed an Enforceable Undertaking (EU) with the FWO. The EU requires back-payments to the remaining eight former employees within 180 days and a $350,000 contrition payment to the Commonwealth Consolidated Revenue Fund. The company must also implement stringent measures, including independent annual audits, to ensure future compliance with workplace laws. The FWO considered Crown’s cooperation and commitment to rectifying the underpayments when deciding on the EU.
What it means for employers
Employers must prioritise payroll compliance and ensure accurate employee classification. Regularly review pay practices to guarantee compliance with relevant awards and legislation. Invest in systems and processes to avoid long-running underpayments and potential legal action. Independent audits can help identify and rectify any issues.
What it means for employees
Employees should review their pay records and seek advice if they suspect they have been underpaid. The FWO provides resources and support for employees experiencing workplace issues. The EU demonstrates the FWO’s commitment to recovering unpaid entitlements.
Every statement above is drawn from the published decision. Read the original here:
https://www.fairwork.gov.au/newsroom/media-releases/2023-media-releases/june-2023/20230622-crown-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 →