Fair Work Ombudsman
Citation: FWO-2024-04-29-lotus-farm-penalties-media-release
At a glance
- Respondent
- Lotus Farm Pty Ltd
- Penalty
- $160,000
- Employees affected
- 2
- Awards cited
- MA000138
What happened
The Fair Work Ombudsman investigated Lotus Farm Pty Ltd, a tomato and cucumber farm in Werribee South, Victoria, after receiving requests for assistance from two former employees. The employees, who were pickers and packers and from non-English speaking backgrounds, alleged they were paid unlawfully low flat hourly rates. Lotus Farm admitted to failing to meet minimum pay rates, casual loading, overtime, and public holiday penalty rates as outlined in the Horticulture Industry Award 2010. One worker was underpaid $22,364 and the other $6,167 between June 2017 and September 2020. A director, Son Thai, was also involved. The company provided false payslips and failed to keep proper records.
What was decided
The Federal Circuit and Family Court imposed penalties of $130,806 against Lotus Farm Pty Ltd and $28,987 against Son Thai. The court found the provision of false payslips to the Fair Work Ombudsman was a 'particularly serious' deliberate act. The underpayments have been rectified. The court noted the need to reflect 'strong disapproval' in the penalties, considering the industry and the vulnerability of the employees. Lotus Farm and Mr Thai have implemented changes to minimise future non-compliance.
What it means for employers
Employers, particularly in the agriculture sector, must ensure they are meeting all minimum wage and penalty rate obligations. Falsifying records and providing misleading information to the Fair Work Ombudsman will result in significant penalties. Employers should review their payroll practices and seek assistance if needed.
What it means for employees
Employees, especially those from non-English speaking backgrounds, should seek assistance from the Fair Work Ombudsman if they believe they are being underpaid. The Assurance Protocol protects visa holders who report workplace concerns without fear of visa cancellation.
Every statement above is drawn from the published decision. Read the original here:
https://www.fairwork.gov.au/newsroom/media-releases/2024-media-releases/april-2024/20240429-lotus-farm-penalties-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 →