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Hair product retailer faces court

A hair product retailer in Melbourne is facing legal action for allegedly underpaying 11 employees including both young and overseas workers.
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Hair product retailer faces court

18 May 2016

A hair product retailer in Melbourne is facing legal action for allegedly underpaying its workers tens of thousands of dollars.

Allegedly 11 employees including both young and overseas workers, were paid approximately $7.86 an hour plus commission. 

The employees were collectively underpaid by $34,915 for work performed between July 2014 and January 2015. The business has begun rectifying its underpayments. 

However, court documents also allege that in response to a Notice of Produce employment documents, false records were provided to the Fair Work Ombudsman. 

In addition the employer had received a Letter of Caution from the Ombudsman over the company’s workplace practices. 

Consequently, the retailer is facing penalties of up to $51,000 per contravention.

The Agency is seeking Court Orders requiring the back-payment of the outstanding wages and entitlements in full. Furthermore, it is required that the employer register with the Agency’s My Account portal and complete the Hiring Employees training module on its Online Learning Centre.

Fair Work Ombudsman Natalie James says “employers need to understand the minimum wage applicable to their workplace and that it is non-negotiable.” 

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