INDUSTRIAL RELATIONS – AUSTRALIA

Back pay problems besiege big firms

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Original article by Damon Kitney
The Australian – Page: 1 & 4 : 1-Nov-19

Many companies have opted to replace or upgrade their payroll systems in response to the introduction of the Australian Taxation Office’s digital Single Touch Payroll reporting system. This has in turn resulted in some companies discovering that they have been underpaying their employees, although Woolworths’ wages scandal is not believed to be linked to the transition to the STP system. Australian Retailers Association CEO Russell Zimmerman has called for an overhaul of the modern award system, contending that its complexity has contributed to the rising number of companies that have self-reported wage underpayments to the Fair Work Ombudsman.

CORPORATES
AUSTRALIAN TAXATION OFFICE, WOOLWORTHS GROUP LIMITED – ASX WOW, AUSTRALIAN RETAILERS ASSOCIATION, AUSTRALIA. FAIR WORK OMBUDSMAN, AUSTRALIA. OFFICE OF THE INSPECTOR-GENERAL OF TAXATION AND TAXATION OMBUDSMAN, SHOP, DISTRIBUTIVE AND ALLIED EMPLOYEES’ ASSOCIATION, SUPER RETAIL GROUP LIMITED – ASX SUL, QANTAS AIRWAYS LIMITED – ASX QAN, THALES AUSTRALIA HOLDINGS PTY LTD, BUNNINGS GROUP LIMITED, KPMG AUSTRALIA PTY LTD, AUSTRALIAN BROADCASTING CORPORATION, ERNST AND YOUNG, AUSTRALIA. ATTORNEY-GENERAL’S DEPT, WESFARMERS LIMITED – ASX WES, BAKER’S DELIGHT HOLDINGS LIMITED, CHEMIST WAREHOUSE

‘Admission is not absolution’: FWO warns Woolies after $300m wage theft revelations

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Original article by
The New Daily – Page: Online : 31-Oct-19

Woolworths CEO Brad Banducci has apologised after the retail giant became the latest company to be embroiled in the wage underpayment scandal. Woolworths has advised that it faces remediation costs of up to $300m after revealing that some 5,700 employees across its supermarkets and Metro stores have been underpaid, potentially since 2010. Woolworths will also review its non-grocery businesses, such as Big W and Dan Murphy’s. Fair Work Ombudsman Sandra Parker says the size of a company’s underpayment will be taken into consideration when the FWO considers penalties in the future.

CORPORATES
WOOLWORTHS GROUP LIMITED – ASX WOW, WOOLWORTHS SUPERMARKETS, BIG W DISCOUNT STORES, DAN MURPHY’S, AUSTRALIA. FAIR WORK OMBUDSMAN, WESFARMERS LIMITED – ASX WES, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, SUPER RETAIL GROUP LIMITED – ASX SUL, QANTAS AIRWAYS LIMITED – ASX QAN

Unions push for jail terms for wage theft

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Original article by David Marin-Guzman
The Australian Financial Review – Page: 4 : 29-Oct-19

The ACTU has urged the federal government to introduce harsher penalties for employers who underpay their staff. Its submission to the government’s compliance discussion paper advocates a maximum jail term of five years or a fine of up to $2m for individuals and $10m for a company. The Australian Chamber of Commerce & Industry has in turn expressed concern about imposing criminal penalties for breaches of workplace laws. It has argued that such penalties should also apply to the Construction, Forestry, Maritime, Mining & Energy Union.

CORPORATES
ACTU, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY, CONSTRUCTION, FORESTRY, MARITIME, MINING AND ENERGY UNION OF AUSTRALIA

Perry’s Rockpool chain cheated its staff out of $10m

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Original article by Tessa Akerman
The Australian – Page: 3 : 25-Oct-19

Maurice Blackburn’s principal lawyer Josh Bornstein has described allegations that Rockpool Dining Group underpaid its staff as one of the "most egregious cases of wage theft" in Australian history. The law firm has submitted a complaint to the Fair Work Ombudsman on behalf of the Hospo Voice union; amongst other things, it alleges that the restaurant group altered employees’ timesheets to show that they worked for just 38 hours a week, when some in fact are said to have worked for up to 100 hours a week. Bornstein says the FWO should seek the maximum penalty against Rockpool, given that it has acknowledged that the penalty against celebrity chef George Calombari for wage underpayment was too light.

CORPORATES
ROCKPOOL DINING GROUP, MAURICE BLACKBURN PTY LTD, HOSPO VOICE, AUSTRALIA. FAIR WORK OMBUDSMAN, MADE ESTABLISHMENT PTY LTD

Big projects to get strike protection

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Original article by Phillip Coorey
The Australian Financial Review – Page: 1 & 4 : 22-Oct-19

Industrial Relations Minister Christian Porter has urged Labor to support legislation to allow workplace agreements to apply for the entire construction phase of greenfields projects. The move is aimed at preventing unions and workers from disrupting a resources, energy or infrastructure project by seeking improved wages and conditions if an enterprise agreement expires in the middle of the construction phase. The Construction, Forestry, Maritime, Mining & Energy Union’s Dave Noonan contends that it is unfair to lock in terms and conditions that could last for 5-10 years.

CORPORATES
AUSTRALIA. DEPT OF EMPLOYMENT, SKILLS, SMALL AND FAMILY BUSINESS, AUSTRALIAN LABOR PARTY, CONSTRUCTION, FORESTRY, MARITIME, MINING AND ENERGY UNION OF AUSTRALIA, MINERALS COUNCIL OF AUSTRALIA, THE AUSTRALIAN INDUSTRY GROUP, CHEVRON CORPORATION, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET

ABC savaged by union for underpaying casual employees

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Original article by Zoe Samios
The Australian – Page: 25 : 21-Oct-19

The Community & Public Sector Union has told its members that the ABC’s management had been made aware on "multiple occasions" that casual staff were being underpaid. The CPSU’s report notes amongst other things that the public broadcaster had breached the Fair Work Act and its own enterprise agreement by underpaying up to 2,500 casual employees. The ABC’s 2019 annual report notes that it has allocated more than $22m to compensating staff who were underpaid.

CORPORATES
AUSTRALIAN BROADCASTING CORPORATION, COMMUNITY AND PUBLIC SECTOR UNION

AFLW at war

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Original article by Michael Warner
Herald Sun – Page: 62 & 61 : 3-Oct-19

The AFL Players’ Association says the majority of AFLW footballers support a proposed three-year collective bargaining agreement, and a vote on the deal will be held shortly. However, a group of AFLW players who are dissatisfied with the proposed pay deal has engaged the services of law firm Maurice Blackburn to represent them. Amongst other things, the dissident group contends that AFLW players will receive a pay rise of seven per cent in 2020 when based on hourly rates, rather than 21 per cent as the AFLPA has claimed.

CORPORATES
AUSTRALIAN FOOTBALL LEAGUE, AUSTRALIAN FOOTBALL LEAGUE PLAYERS’ ASSOCIATION, MAURICE BLACKBURN PTY LTD

Wesfarmers underpaid staff

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Original article by Ewin Hannan
The Australian – Page: 19 : 2-Oct-19

Perth-based conglomerate Wesfarmers has attributed its latest wage underpayment scandal to a payroll error. A preliminary estimate suggests that the staff were underpaid about $15m in total, although the final figure could potentially be much higher. The error was detected during testing of a new payroll system, which found that some 2,000 current and 4,000 former employees of its industrial and safety division had been underpaid for nine years. Wesfarmers’ Bunnings hardware chain recently admitted to underpaying the superannuation entitlements of some part-time employees.

CORPORATES
WESFARMERS LIMITED – ASX WES, BUNNINGS GROUP LIMITED, BLACKWOODS, WORKWEAR GROUP, COREGAS, GREENCAP LIMITED, AUSTRALIA. FAIR WORK OMBUDSMAN, ACTU, AUSTRALIA. ATTORNEY-GENERAL’S DEPT

Union activities may breach building codes

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Original article by David Marin-Guzman
The Australian Financial Review – Page: 9 : 30-Sep-19

The Australian Building & Construction Commission has warned that the Construction, Forestry, Maritime, Mining & Energy Union’s draft pattern agreement includes clauses that breach the federal building code. Amongst other things, the New South Wales agreement allows union flags to be displayed on building sites and provides for workers to be paid for attending union meetings during bargaining. Master Builders Australia says the agreement as the most restrictive it has seen.

CORPORATES
CONSTRUCTION, FORESTRY, MARITIME, MINING AND ENERGY UNION OF AUSTRALIA, AUSTRALIAN BUILDING AND CONSTRUCTION COMMISSION, MASTER BUILDERS AUSTRALIA INCORPORATED

Setka forks out $40k of members’ funds on ad

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Original article by Ewin Hannan
The Australian – Page: 5 : 26-Sep-19

Embattled Construction, Forestry, Maritime, Mining & Energy Union official John Setka has criticised senator Jacqui Lambie in a full-page advertisement in the ‘Herald Sun’. Lambie has signalled that she will support the federal government’s Ensuring Integrity Bill unless Setka steps down as Victorian secretary of the CFMMEU. Setka has accused her of attempting to blackmail himself and the union’s members. A spokesman for Setka says the ad was "union business", so it was funded by the CFMMEU rather than Setka.

CORPORATES
CONSTRUCTION, FORESTRY, MARITIME, MINING AND ENERGY UNION OF AUSTRALIA