Fair Work Ombudsman
Citation: FWO-2026-03-26-warwick-institute-litigation-media-release
At a glance
- Penalty
- $23,365
- Employees affected
- 1
- Awards cited
- MA000173
What happened
The Fair Work Ombudsman has commenced legal action against Warwick Institute of Australia Pty Ltd, its director Charles Shiao, and former finance manager Xiaowen ‘Eva’ Xu. They are accused of allegedly requiring a Brazilian national, employed as a marketing officer in Brisbane between July 2019 and February 2022, to repay over $23,365 through a cashback scheme. The worker was initially employed casually, then full-time on a subclass 482 visa with a salary of $65,000. The allegations include requiring the worker to pay cash to Mr Shiao for visa sponsorship expenses and making further cash payments to the institute. The Fair Work Ombudsman alleges these payments benefited the institute and its director.
What was decided
The Fair Work Ombudsman is seeking penalties against Warwick Institute of Australia, Charles Shiao, and Xiaowen Xu for alleged breaches of workplace laws. The company faces penalties of up to $66,600 per contravention, while Shiao and Xu face penalties of up to $6,600 each. The court is also expected to order the company to repay the cashback payments (plus interest) to the worker. A directions hearing is scheduled for June 10, 2026. The investigation began after the worker requested assistance.
What it means for employers
Employers, particularly those sponsoring migrant workers, must ensure employees receive their lawful entitlements and are not required to make repayments. Cashback schemes are considered unlawful and exploitative. Visa holders are entitled to the same protections as Australian citizens.
What it means for employees
Visa holders should seek assistance from the Fair Work Ombudsman if they believe their workplace rights have been violated. The Fair Work Ombudsman offers protections for visa holders who report alleged breaches.
Every statement above is drawn from the published decision. Read the original here:
https://www.fairwork.gov.au/newsroom/media-releases/2026-media-releases/march-2026/20260326-warwick-institute-litigation-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 →