Ag worker breaches: Fair Work Ombudsman ‘spot checks’ after anonymous tip-offs on conditions, underpayments

Inspectors will be carrying out spot checks at South West farms, orchards and labour-hire companies this week after anonymous tip-offs some employers were underpaying workers..

The Fair Work Ombudsman began the surprise inspections this week, targeting about 20 farms and labour companies around the Manjimup and Donnybrook areas.

While the investigations form part of a broader Ombudsman investigation into the sector, it was revealed some businesses had been selected for inspection after anonymous tip-offs that workers were being underpaid.

This included potential non-payment of overtime, including when working 11 hours a day; non-payment of public holiday rates; unpaid time in workers’ final pay and inadequate breaks among some businesses.

Other businesses were selected because their employee base consisted of working-visa holders, who could be vulnerable to underpayment.

Fair Work Ombudsman Sandra Parker said inspectors would be taking enforcement action where necessary.

“The agriculture sector employs a significant number of migrant workers, including backpackers, who can be vulnerable to exploitation as they may have limited English skills, or be unaware of their rights or unwilling to raise concerns with their bosses,” she said.

“Inspectors are out in the field to hold employers to account if they are not meeting their obligations.”

The farms under inspection were across a range of horticultural and livestock industries, including apples, avocadoes, potatoes and beef cattle.

She also revealed inspectors were speaking with growers, labour hire operators, managers and employees on the ground, and are requesting records for potential horticulture award, piece rate and payslip breaches.

Beginning in December 2021, the Ombudsman’s broader investigation, the Agriculture Strategy, will target more than 300 businesses over two years, focusing on 15 ‘hot spot’ regions identified high risks of non-compliance.

Industry sectors being investigated include viticulture, horticulture, meat processing and agriculture.

Penalties can include fines of up to $16,500 per breach for an individual, and $82,500 per breach for companies.

Maximum penalties are 10-times higher if a court determines breaches were serious contraventions under the Fair Work Act.

In 2019, the Ombudsman secured fines totalling $144,000 against a Victorian fruit farmer for deliberately underpaying two overseas fruit pickers a total of $13,529 and using false records to try to cover it up. The business was fined $120,000 while the company’s director was fined $24,000 as an individual.

“Employers who need assistance meeting their obligations should contact the FWO directly for free advice,” Ms Parker said.

“We also urge workers with concerns about their wages and entitlements to reach out to us. They can report anonymously if they prefer.”

Employers and employees can visit www.fairwork.gov.au or call the Fair Work Infoline on 13 13 94 for free advice and assistance about their rights and obligations in the workplace. A free interpreter service is available on 13 14 50.