Fair Work Ombudsman
Citation: FWO-2023-10-16-winit-penalty-media-release
At a glance
- Penalty
- $550,000
- Employees affected
- 400
- Awards cited
- MA000037
What happened
Winit (AU) Trade Pty Ltd, a Sydney-based company providing warehousing and distribution services, underpaid nearly 400 employees, primarily migrant workers, between 2014 and 2019. The Fair Work Ombudsman investigated after receiving requests for assistance. A sample of 30 working-holiday-visa holders, mostly from Taiwan, were underpaid a total of $368,684 between July 2017 and June 2018. Employees regularly worked long hours but were paid a flat hourly rate of $24.41 without penalty or overtime. The company also breached laws regarding pay slips and other Award obligations. Song Cheng, the company’s sole director and general manager, was also involved.
What was decided
The Federal Court imposed a $550,000 penalty against Winit (AU) Trade Pty Ltd and an $8,190 penalty against Song Cheng. The court found Winit’s conduct was 'deliberate and systematic' and described it as 'obnoxious'. Three underpayment contraventions were deemed 'serious contraventions' due to the deliberate nature of the breaches. All 30 employees involved in the Fair Work Ombudsman’s legal action have been back-paid in full. Winit has also back-paid most of the other affected employees.
What it means for employers
Employers must ensure all employees receive lawful minimum rates, regardless of visa status or nationality. Deliberate and systematic underpayment, particularly of vulnerable workers, will result in significant penalties. Compliance with Award obligations, including penalty rates and overtime, is essential. Adverse action laws protect employees who raise concerns about pay or entitlements.
What it means for employees
Employees, regardless of their visa status, are entitled to minimum wage and Award entitlements. If you have concerns about your pay or entitlements, contact the Fair Work Ombudsman for free assistance. Refusing an employer’s settlement offer should not result in adverse action.
Every statement above is drawn from the published decision. Read the original here:
https://www.fairwork.gov.au/newsroom/media-releases/2023-media-releases/october-2023/20231016-winit-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 →