What is Wage Theft in Australia

What is wage theft in Australia as a legal matter, rather than as a phrase in the news?

It is the intentional underpayment of amounts an employer was required to pay. The word doing the work is intentional. An employer who deliberately pays below the minimum entitlement, or deliberately does not pay at all, is in scope.

An employer who got it wrong is not, however costly the error. The regulator states that the provisions do not include honest mistakes.

That does not make an error consequence free. Civil obligations still apply, back-payment is still owed, and civil penalties are available. What changes is that prison is not on the table.

An individual can commit the offence, and so can a company. Others involved, such as someone aiding an employer, can also be prosecuted.

The Fair Work Ombudsman publishes the definition. This is general information rather than legal advice, and obligations vary by state and territory.

See Sentrient’s wage theft webinar and compliance training courses.