A company that formerly operated two Cash Converters stores in Melbourne is facing court and a possible penalty of $33,300 for allegedly failing to follow a Compliance Notice.
Yarraville Business Pty Ltd formerly operated Cash Converters stores in Yarraville and Taylors Lakes.
The Fair Work Ombudsman is taking legal action over alleged underpayments across minimum wage rates, overtime rates, annual leave entitlements and penalty rates for public holiday and weekend work.
The FWO was contacted by a worker who had been employed full-time basis at the Yarraville store between July 2015 and April 2018 and at the Taylors Lakes store between April 2018 and March 2020, and was paid a flat rate of $21.76 an hour.
The inspector believed the employee was covered by two different awards: the Banking, Finance and Insurance Award 2010 for duties performed at the Yarraville Store and the General Retail Industry Award 2010 for jobs undertaken at the Taylors Lakes outlet.
Yarraville Business was issued with a Compliance Notice in July 2021 but the FWO alleges it has failed to comply with requirements to calculate and back-pay the worker’s entitlements.
Fair Work Ombudsman Sandra Parker said the organisation was prepared to take appropriate legal action to ensure employees receive their lawful entitlements.
“A court can order a business to pay penalties on top of having to back-pay workers,” Parker said.
The regulator is also seeking an order for Yarraville Business Pty Ltd to comply with the Compliance Notice, which includes rectifying any underpayments in full, plus interest and superannuation.
A directions hearing is listed in the Federal Circuit and Family Court in Melbourne on 11 May 2022.
