![[Australia] The Iconic apologises after finding further underpayments of $210k](http://gpa.net/cdn/shop/articles/bigstock-Online-Shopping-Concept-Busin-477588135_1200x.jpg?v=1700698859)
Australian online fashion retailer The Iconic has uncovered nearly $201,000 in additional underpayments during an upgrade of its payroll and HR systems, after previously being found to have underpaid hundreds of casual staff more than $1 million between 2013 and 2019, The Sydney Morning Herald reports.
The Iconic cut 116 jobs in 2023 and back-paid 800 current and former staff in 2022 following two audits of its accounting systems that found payroll errors totalling $1.38 million.
Those underpayments have now been rectified, however, The Iconic reportedly engaged independent external auditors to conduct payroll checks and these identified 551 casual staff had also been underpaid a total of $200,937 in wages, interest, super and lost earnings between 2020 to 2023.
“The Iconic deeply regrets that the issue has occurred,” a statement from the retailer read.
“We take our obligations very seriously, and we believe that our new payroll and human resources systems as well as our ongoing vigilance in reviewing and upgrading our payroll processes and data minimises the risk of this happening again.”
The Iconic has self-reported the additional underpayments to the Fair Work Ombudsman, established a dedicated team to provide affected staff with information and support, and is in the final stages of remediation, the statement said.
In a November 16 email to affected workers, Jere Calmes - The Iconic’s new chief executive - reportedly said the business “extends our sincerest apologies” to staff impacted by the “misapplication of the relevant awards”.
Some staff were overpaid and will not be asked to pay back the funds. Other underpayments were under $1. “However we have committed to paying all impacted ICONITEs a minimum of $50 as a gesture of good faith,” Mr Calmes wrote.
Source: The Sydney Morning Herald
(Link and quotes via original reporting)
Australian online fashion retailer The Iconic has uncovered nearly $201,000 in additional underpayments during an upgrade of its payroll and HR systems, after previously being found to have underpaid hundreds of casual staff more than $1 million between 2013 and 2019, The Sydney Morning Herald reports.
The Iconic cut 116 jobs in 2023 and back-paid 800 current and former staff in 2022 following two audits of its accounting systems that found payroll errors totalling $1.38 million.
Those underpayments have now been rectified, however, The Iconic reportedly engaged independent external auditors to conduct payroll checks and these identified 551 casual staff had also been underpaid a total of $200,937 in wages, interest, super and lost earnings between 2020 to 2023.
“The Iconic deeply regrets that the issue has occurred,” a statement from the retailer read.
“We take our obligations very seriously, and we believe that our new payroll and human resources systems as well as our ongoing vigilance in reviewing and upgrading our payroll processes and data minimises the risk of this happening again.”
The Iconic has self-reported the additional underpayments to the Fair Work Ombudsman, established a dedicated team to provide affected staff with information and support, and is in the final stages of remediation, the statement said.
In a November 16 email to affected workers, Jere Calmes - The Iconic’s new chief executive - reportedly said the business “extends our sincerest apologies” to staff impacted by the “misapplication of the relevant awards”.
Some staff were overpaid and will not be asked to pay back the funds. Other underpayments were under $1. “However we have committed to paying all impacted ICONITEs a minimum of $50 as a gesture of good faith,” Mr Calmes wrote.
Source: The Sydney Morning Herald
(Link and quotes via original reporting)
