The Fair Work Ombudsman has commenced legal action against the operator of a freight distribution business based on NSW’s mid north coast.
Facing court is sole trader Christine Louise Callaghan, who operated ‘RC Express’ in Taree.
The regulator investigated after receiving requests for assistance from four workers who were employed at the business between February 2016 and June 2021.
One worker, aged between 19 and 23 at the time, was employed as an administration clerk. The three other workers were employed as delivery drivers.
A Fair Work Inspector issued a Compliance Notice to Ms Callaghan in September 2021 after forming a belief the workers had not been paid all entitlements owed under the Road Transport and Distribution Award 2020, the Road Transport and Distribution Award 2010, the Clerks – Private Sector Award 2020, the Clerks – Private Sector Award 2010, and the National Employment Standards.
The inspector formed a belief the workers were underpaid a range of entitlements including minimum full-time wages, minimum casual wages, accrued but untaken annual leave entitlements at the end of employment and payment-in-lieu-of-notice.
The Fair Work Ombudsman alleges Ms Callaghan, without reasonable excuse, failed to comply with the Compliance Notice, which required her to calculate and back-pay the workers’ outstanding entitlements.
Fair Work Ombudsman Sandra Parker said the regulator would continue to enforce workplace laws and take business operators to court when they fail to act on Compliance Notices.
“Where employers do not comply, we are prepared to take appropriate legal action to ensure employees receive their lawful entitlements. A court can order a business to pay penalties on top of having to back-pay workers,” Ms Parker said.
“Any employees with concerns about their pay or entitlements should contact the Fair Work Ombudsman for free advice and assistance.”
The Fair Work Ombudsman is seeking penalties against Ms Callaghan, who faces a penalty of up to $6,660 for allegedly failing to comply with the Compliance Notice.
The regulator is seeking an order for Ms Callaghan to rectify the alleged underpayment in full, plus superannuation and interest.
A directions hearing is listed in the Federal Circuit and Family Court in Sydney on 15 July 2022.
