The Fair Work Ombudsman has secured a $6,400 penalty in court against an electrical contracting company in Melbourne's south-east.
The Federal Circuit and Family Court has imposed the penalty against BSW Electrical Services Pty Ltd, which operates in the Mornington Peninsula region.
The penalty was imposed in response to BSW Electrical Services failing to comply with a Compliance Notice requiring it to calculate and back-pay entitlements owing to a worker it employed on a full-time basis between June 2015 to March 2022.
The worker was initially employed as an apprentice electrician before moving into a qualified electrician position in 2021.
The worker was owed a total of more than $14,000 and was only fully back-paid after the Fair Work Ombudsman commenced legal action.
Fair Work Ombudsman Anna Booth said business operators that fail to act on Compliance Notices need to be aware they can face penalties in court on top of having to back-pay workers.
"When Compliance Notices are not followed, we will continue to take legal action to protect employees. Employers who fail to act on these notices risk substantial penalties," Ms Booth said.
"Any employees with concerns about their pay or entitlements should contact us for free advice and assistance."
The FWO investigated after receiving a request for assistance from the affected worker.
A Fair Work Inspector issued a Compliance Notice to BSW Electrical Services in March 2023 after forming a belief the worker was not paid his accrued but untaken annual leave entitlements when his employment ended, owed under the Fair Work Act's National Employment Standards.
Judge Amanda Mansini found there was a need to impose a penalty to deter BSW Electrical Services and other employers from similar conduct in future.
"In my view, there is a need for general deterrence in this matter, to emphasise the importance of an effective compliance framework and at a sufficient level to impress upon other employers in the electrical services industry the importance of complying with legal obligations owed to the employees," Judge Mansini said.
