Case also attempts to prosecute company director for alleged involvement
Under labour law, an employer may be required to reimburse employees training fees or other related expenses if they are provided with a formal employment agreement or are covered by an award or enterprise agreement.
In this case, the Fair Work Ombudsman (FWO) has filed a complaint against a Melbourne-based home construction firm and one of its directors.
JACZ Holdings Pty Ltd, situated in Heidelberg Heights, and business director and shareholder Christo Douvos are in court after the FWO investigated a request of one of its apprentices.
A bricklayer employed by the firm said that the company failed to refund his training expenses and has been underpaying the worker’s minimum apprentice rates.
In July 2022, a Fair Work Investigator issued a compliance warning, but it failed to comply.
The FWO is suing for fines for the alleged failure to comply, with the company facing a fine of up to $33,300, while the director reportedly could face a fine of up to $6,660.
The regulator is also seeking an order for JACZ Holdings Pty Ltd to follow the procedures outlined in the notice, which include fully compensating the alleged underpayment, plus interest and superannuation.
HRD previously reported a federal court case involving a company’s managing director who allegedly contributed to the company’s contravention of award provisions.
The FWO also investigated it and found the employer failed to pay hundreds of its workers as required under the relevant award, and the managing director was a “person involved” in most of the violations.
In another case, the FWO also went after The University of Melbourne, alleging that it underpaid temporary employees and kept false or misleading documents.
According to the federal court charges, the university violated labour standards by failing to pay 14 casual academics.
Sandra Parker, the Fair Work Ombudsman, stated that the regulator would continue to enforce workplace regulations and take firms to court if reasonable demands were not met.
“Where employers do not comply, we will take appropriate action to protect employees. A court can order a business to pay penalties in addition to back-paying workers.”
“Any employees with concerns about their pay or entitlements should contact the Fair Work Ombudsman for free assistance,” Parker said.
