The Fair Work Ombudsman has secured $25,740 in penalties in court against the operators of a Melbourne-based transport services business.
The Federal Circuit and Family Court has imposed a $21,450 penalty against Express Cars Direct Australia Wide Pty Ltd, which is based in Melbourne and operates the 'Express Cars Direct' business nationally, and a $4,290 penalty against the company's sole director, Billy Petrevski.
The penalties were imposed in response to Express Cars Direct Australia Wide failing to comply with a Compliance Notice requiring it to calculate and back-pay entitlements owing to a worker it employed as a driver between April 2019 and May 2021.
Mr Petrevski was involved in the contravention.
Fair Work Ombudsman Anna Booth said employers that fail to act on Compliance Notices need to be aware they can face penalties in court.
"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 the company in August 2022 after forming a belief the worker had been underpaid wages, owed under the Road Transport and Distribution Award 2020, and annual leave entitlements, owed under the Fair Work Act's National Employment Standards.
Judge Catherine Symons found that there was "nothing redeeming in the conduct or attitude" of Express Cars Direct Australia Wide and Mr Petrevski that would justify a discount on penalty, saying "the attitude demonstrated by the respondents in this proceeding gives me little confidence that lessons have been learned".
Judge Symons found there was a need to impose penalties that would deter them and other employers from similar future conduct.
"It does not seem to me appropriate that an employer who essentially thumbs their nose at a Compliance Notice without taking any affirmative action, should be afforded more leniency, both in terms of their own need for deterrence and the optics this would convey to the putative like-minded employer," Judge Symons said.
