Australia’s Supreme Court of Victoria issued penalties totalling AUD 220,104 (USD 146,355) against a horticulture company and AUD 43,784 (USD 29,035) against two directors following legal action by the Labour Hire Authority (LHA).

The Court found Monorom Labours Power, which provided workers to farms in regions, contravened the Labour Hire Licensing Act 2018 (Vic) by failing to notify LHA:

• of multiple changes in company directors and secretaries
• that a director was not a fit and proper person.

“Ensuring we have fit and proper people running Victorian labour-hire companies is an important way of protecting workers and improving the industry’s integrity,” Labour Hire Licensing Commissioner Steve Dargavel said in a press release.

In addition to the penalties imposed on Monorom, two company directors were issued penalties totalling AUD 43,784 (USD 29,035) for their involvement in the contraventions.

Monorom contravened the Act when Saravong Tath became a director, and the company failed to inform the LHA that Tath was not a fit and proper person, as he had been an officer of two companies that were placed under external administration within the preceding five years.

Tath was ordered to pay penalties totalling AUD 40,825 (USD 27,073), and director Visal Leab had penalties imposed amounting to AUD 2,958 (USD 1,961).

“Labour hire workers in the horticulture industry are among Victoria’s most vulnerable, so the industry is a key focus for our expanded compliance and enforcement program, Commissioner Dargavel said.

Under the Act, directors and other key people involved in managing labour-hire businesses must be ‘fit and proper’ to protect workers and improve the integrity of the industry.

LHA must be notified if directors or other relevant persons change or are no longer fit and proper or compliant with legal obligations under the Act.