[Australia] Wage theft costs workers $850m per year

[Australia] Wage theft costs workers $850m per year
25 Aug 2023

According to new research, wage theft is costing workers in Australia nearly $850 million a year, with New South Wales seeing the highest instances of missing pay, 9News reports.

The McKell Institute report analysed Fair Work Ombudsman audits, which found 27,000 businesses had underpaid approximately 1.3 million workers since 2009.

The report showed that New South Wales accounted for nearly one-third of lost wages at $306 million per year.

Victorians were reportedly underpaid by $221 million and Queenslanders $163 million.

"All Australian workers need wage theft to be criminalised because it is theft pure and simple," Rebecca Thistleton - McKell Institute executive director - said.

"There is every chance that you are not either being paid for all of the hours that are being worked or you are not getting all of the entitlements that you should be receiving."

Hospitality staff and fruit pickers are often perceived as vulnerable workers, however, sub-contractors and personal trainers are also reportedly at risk.

The Fair Work Ombudsman reportedly found that employer non-compliance is, generally, not malicious but rather due to a lack of understanding.

However, industry professionals say there is no excuse and argue that more needs to be done.

"If you go and steal a car, that's a crime so why isn't stealing people's wages a crime too?" Ms Thistleton said.


Source: 9News

(Quotes via original reporting)

According to new research, wage theft is costing workers in Australia nearly $850 million a year, with New South Wales seeing the highest instances of missing pay, 9News reports.

The McKell Institute report analysed Fair Work Ombudsman audits, which found 27,000 businesses had underpaid approximately 1.3 million workers since 2009.

The report showed that New South Wales accounted for nearly one-third of lost wages at $306 million per year.

Victorians were reportedly underpaid by $221 million and Queenslanders $163 million.

"All Australian workers need wage theft to be criminalised because it is theft pure and simple," Rebecca Thistleton - McKell Institute executive director - said.

"There is every chance that you are not either being paid for all of the hours that are being worked or you are not getting all of the entitlements that you should be receiving."

Hospitality staff and fruit pickers are often perceived as vulnerable workers, however, sub-contractors and personal trainers are also reportedly at risk.

The Fair Work Ombudsman reportedly found that employer non-compliance is, generally, not malicious but rather due to a lack of understanding.

However, industry professionals say there is no excuse and argue that more needs to be done.

"If you go and steal a car, that's a crime so why isn't stealing people's wages a crime too?" Ms Thistleton said.


Source: 9News

(Quotes via original reporting)

Leave a Reply

All blog comments are checked prior to publishing