Old fashioned wages rip-off adds up to $162,000

A Fair Work Ombudsman investigation found dozens of fashion employees were under-paid.
A Fair Work Ombudsman investigation found dozens of fashion employees were under-paid. Barry Leddicoat

A HIGH-END fashion retailer must back-pay $162,100 to 36 staff across Australia.

A Fair Work Ombudsman investigation into the unnamed business started after one worker complained they were being underpaid.

The employer was paying its casual adult sales assistants $21 an hour and this did not cover penalty rates.

Fair Work Ombudsman Natalie James said the business "incorrectly assumed" that sales commissions would offset the underpayment of the flat rate for any work attracting penalties.

Ms James said the employees were underpaid a total of $148,100 in wages and $14,000 in superannuation between June, 2013 and June last year.

"Employers must ensure they understand the wage rates applicable to their employees, including penalty rates," she said.

"When we find errors, our preference is to educate employers about their obligations and assist them to put processes in place to ensure the mistakes are not repeated." - ARM NEWSDESK

Topics:  employment fair work ombudsman fashion

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