Fair Work Ombudsman
At a glance
- Innovative Associates Pty Ltd
- $32,907
- 1
What happened
The Fair Work Ombudsman has commenced legal action against Innovative Associates Pty Ltd, a Sydney accounting firm, and its director, the Respondent. They are accused of exploiting a Nepalese national employed as an assistant accountant between July 2019 and December 2020. The worker, who held a temporary graduate visa, allegedly had to pay amounts to cover her wages, superannuation, and tax through a 'cashback scheme'. It's alleged she transferred approximately $32,907 to the Respondent, with $27,873.50 returned as wages. The company also allegedly breached record-keeping and pay slip laws.
What was decided
The Fair Work Ombudsman is taking legal action against Innovative Associates Pty Ltd and the Respondent for allegedly exploiting a migrant worker through a 'cashback scheme'. The worker was allegedly required to pay amounts to cover her wages and other entitlements. The Fair Work Ombudsman alleges the company provided false pay slips to inspectors and failed to pay for public holidays and accrued annual leave. The company has now back-paid the worker in full. Penalties will be sought in court.
What it means for employers
Employers must ensure they are paying employees correctly and complying with all workplace laws. This includes avoiding exploitative practices like cashback schemes, especially when dealing with vulnerable workers like visa holders. Employers should also be aware of the importance of accurate record-keeping and providing truthful information to Fair Work Inspectors.
What it means for employees
Visa holders and other employees who suspect they are being exploited or underpaid should seek assistance from the Fair Work Ombudsman. All employees, regardless of visa status, are entitled to receive their lawful entitlements and keep them.
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