As part of a new campaign focusing on checking whether employers are compliant with both their employee obligations as well as employer record-keeping obligations, the Fair Work Ombudsman has been announcing ‘spot check’ audits over the last few months on businesses throughout Australia.
In March this year, the Fair Work Ombudsman announced that 50 Tasmanian and 200 Southwest Victorian business would be audited. It was also announced that 30 Alice Springs and Barkly region businesses would be audited in April, 50 Brisbane and 75 Barossa and Adelaide Plains regions business would be audited in May and this month it was announced that 150 regional Western Australian business and 250 New South Wales business would be audited as part of the campaign.
As part of these random checks, Fair Work inspectors will audit businesses to ensure employers are paying the correct minimum hourly rates, penalty rates, allowances, loadings, overtime and providing appropriate meal breaks. They will also be checking to ensure adherence to record keeping and payslip obligations.
For many businesses, this will mean a mad scramble to find out what their obligations are and try and backtrack ASAP! Some may have processes and procedures in place and be unaffected by an audit, while others may unfortunately be caught unawares and potentially suffer the consequences ranging from cautions, repaying underpayments and fines.
With the knowledge that Fair Work is door-knocking, now is the time to make sure that all your ducks are lined up and you are meeting your employer obligations. This is especially important with year end looming and the changes to pay rates and thresholds on July 1 2016.
Not sure if you are compliant? We can help you! Contact us on 03 9662 9900.