FWO also secures record-high penalties in 2024–25
More than $358 million in unpaid wages was returned to more than 249,000 underpaid workers in 2024–25, according to the Fair Work Ombudsman's (FWO) latest annual report.
The FWO said 60% of the recoveries came from large corporate sector employers, equivalent to almost $213 million back-paid to nearly 118,000 underpaid employees.
"An important element of this has been our clear expectations to large corporates that following workplace laws must be an ongoing priority – and this includes thoroughly fixing up past underpayments as well as improving governance and processes for the future," said Fair Work Ombudsman Anna Booth (pictured above) in a statement.
Significant recoveries made
Significant recoveries were also achieved through the FWO’s dispute assistance services, targeted investigations, and self-reported underpayments, according to the FWO.
A total of $47 million was back-paid to employees in 2024–25 through eight Enforceable Undertakings, including four with universities that self-reported their underpayments.
Dispute assistance efforts also led to $7.3 million in unpaid wages being back-paid to 2,120 workers. Another $8.2 million was also recovered for 3,428 workers through 1,220 Compliance Notices issued by Fair Work Inspectors.
Overall, the FWO has recovered more than $2 billion in unpaid wages in the last five years.
"This outcome reflects the resolution of matters cooperatively within the workplace, as well as the strength of our guided and enforced compliance approach and use of enforcement tools," the FWO report read.
Record penalties recorded
Meanwhile, the FWO also secured a record $23.7 million in total court penalties in 2024–25 following major litigation outcomes during the financial year.
This includes the $15.3 million penalty imposed on the operators of Sushi Bay outlets in New South Wales, Darwin, and Canberra for underpaying 163 workers more than $650,000. This is the highest-ever penalty secured by the FWO in court in a single legal action.
It also secured $5.1 million in penalties against a retailer that previously operated children’s clothing stores in Sydney, NSW’s Central Coast, Newcastle and Canberra, and their company directors for underpaying migrant workers.
Another $838,000 in penalties was also paid from the 743 Infringement Notices handed by Fair Work Inspectors for record-keeping or payslip breaches.
"We are continuing our intelligence-led, priority-driven work in 2025–26, targeting the high-risk sectors of aged care services, agriculture, building and construction, disability support services, fast food, restaurants and cafés, large corporates, and universities," Booth said.
"We retain our enduring priorities of assisting small business employers and employees, and vulnerable workers."