The Fair Work Ombudsman has commenced legal action against a New South Wales building and construction company and its director.
Facing court are IPS Holdings NSW Pty Ltd, based in Wollongong, and the company's sole director Steven Sonnleitner.
The regulator investigated after receiving a request for assistance from a worker that IPS Holdings NSW employed as a full-time construction worker between September 2021 and September 2022.
A Fair Work Inspector issued a Compliance Notice to IPS Holdings NSW in February 2023 after forming a belief the company failed to pay the worker his accrued but untaken annual leave entitlements at the end of his employment, owed under the Fair Work Act's National Employment Standards.
The Fair Work Ombudsman alleges IPS Holdings NSW, without a reasonable excuse, failed to comply with the Compliance Notice, which required it to calculate and back-pay the worker's entitlements. It is alleged Mr Sonnleitner was involved in the contravention.
Fair Work Ombudsman Anna Booth said the regulator would continue to enforce workplace laws and take businesses to court where lawful requests are not complied with.
"Where employers do not comply, we will take appropriate action to protect employees. A court can order a business to pay penalties, and to take steps to comply with a Compliance Notice including calculating and back-paying entitlements," Ms Booth said.
"Employers should also be aware that improving compliance in the building and construction industry is a priority for the FWO.
"Any employees with concerns about their pay or entitlements should contact us for free advice and assistance."
The FWO is seeking penalties in court for the alleged failure to comply with the Compliance Notice. The company faces a penalty of up to $41,250 and Mr Sonnleitner faces a penalty of up to $8,250.
The regulator is also seeking an order for the company to take the steps that were required by the Compliance Notice, including calculating and rectifying any outstanding amounts, plus interest.
A directions hearing is listed in the Federal Circuit and Family Court in Sydney on 26 March 2025.
