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Australian workers back-paid $320 million to over 250,000 underpaid workers

26 October 2023

Australia’s Fair Work Ombudsman recovered AUD 509 million (USD 321.0 million) for 251,475 underpaid workers in 2022-23, the second consecutive year of more than half a billion dollars in underpayments recovered.

The recoveries detailed in the workplace regulator’s newly published Annual Report are the second-largest annual figure recorded, following only the record sum in 2021-22.

More than half of last year’s recoveries came from large corporate and university employers who together back-paid more than AUD 317 million (USD 199.9 million) to more than 160,000 underpaid employees.

Fair Work Ombudsman Anna Booth said the regulator continues to deliver strong recoveries results because of its consistent work addressing underpayments in large employers.

“The Fair Work Ombudsman has created a firmer culture of accountability and an environment that expects Australia’s largest employers to prioritise compliance,” Booth said. “These efforts, including prioritising both the large corporates and university sectors, and combining stronger, targeted compliance and enforcement action across our work, have led to more wages returned to workers’ pockets.”

The Fair Work Ombudsman filed 81 litigations in 2022-23.

In firsts for the regulator, the FWO commenced litigations against a university, a franchisor alleging liability for franchisee breaches of workplace laws, and a holding company for alleged contraventions by its subsidiaries.

The workplace regulator issued 2,424 compliance notices, resulting in AUD 14.8 million (USD 9.3 million) in unpaid wages recovered. Fair Work Inspectors also issued 626 Infringement Notices for record-keeping or pay slips breaches, with total fines of AUD 739,966 (USD 466,652), 65% more than in 2021-22.