Trucking Business faces Court over back pay entitlements

Public news

The Fair Work Ombudsman has commenced legal action in the Federal Circuit Court against Trucking Services Pty Ltd, a road transport business based on the Gold Coast.

The Fair Work Ombudsman alleges Trucking Services breached the Fair Work Act by failing to comply with a Compliance Notice requiring it to calculate and back-pay entitlements owed to a truck driver for work he completed between June 2017 and August 2018.

The FWO is seeking penalties against Trucking Services. The company faces a maximum penalty of $31,500.

A Fair Work Inspector issued the Compliance Notice in October 2019 in response to a request for assistance from the truck driver.

The Compliance Notice was issued after the Fair Work Inspector conducted an investigation and formed a belief that Trucking Services allegedly underpaid minimum wages, overtime rates, weekend and public holiday penalties, carting livestock allowance and annual leave loading under the Road Transport and Distribution Award 2010.

The FWO also alleges in the Compliance Notice that Trucking Services breached the Fair Work Act by failing to pay out accrued annual leave on termination of the driver’s employment.

Fair Work Ombudsman, Sandra Parker, says that compliance notices are an important tool to recover unpaid wages, and they will be enforced where they are not followed.

Sandra said, “Under the Fair Work Act, inspectors can issue a Compliance Notice if they form a belief that an employer has breached certain workplace laws. Where employers do not comply with our notices, a court can order them to pay penalties in addition to back-paying any affected employees.”

The FWO is also seeking a Court Order requiring Trucking Services to take the action required by the Compliance Notice, which includes calculating and then rectifying all owed entitlements in full, plus superannuation and interest.

It is important to immediately act on and comply with any notice issued by a regulator such as the Fair Work Ombudsman or SafeWork SA. If you receive any such notice, immediately contact the Workplace Relations team for assistance with the steps that are required to comply with the notice, to avoid further legal action being taken by the regulator.

If you have any questions or would like to discuss any compliance issues, please contact the Workplace Relations team on (08) 8291 2000 or by clicking here.