Wage theft is becoming an increasingly prevalent issue throughout Australia. Last year, The Fair Work Ombudsman recovered more than $532 million for 384,805 underpaid workers from 2021-22. As an employee, it’s essential to know and understand your rights when it comes to fair pay so that you can protect yourself.
Thankfully, Australia has an established process for underpayment claims, with bodies like the Fairwork Commission holding perpetrators accountable.
If you discover that you are being underpaid, follow these steps to prepare for making an underpayment claim in Australia.
Understand Your Entitlements
Before making an underpayment claim, familiarise yourself with your entitlements as an employee. The Fair Work Act 2009 sets out the minimum standards for employment in Australia, including wages, working hours, leave entitlements, and penalty rates.
Review your employment contract, relevant award or enterprise agreement and compare these against your past payslips.
Gather Evidence
To support your underpayment claim, gather all relevant documentation and evidence. This may include timesheets, pay slips, employment contracts, rosters, and any other records that demonstrate the hours worked, duties performed, and payments received.
Having accurate and comprehensive records will strengthen your claim and help establish the extent of the underpayment.
Consult with Colleagues
If you suspect that other employees may have also been underpaid, consider discussing the issue with your colleagues.
Sharing experiences and information can help uncover patterns of underpayment and provide additional evidence to support your claim. However, be mindful of confidentiality and seek professional advice before taking collective action.
Seek Professional or Union Advice
If you are unsure about your rights or require assistance in preparing your underpayment claim, consider seeking professional advice from an HR specialist or contacting your union. These professionals can provide guidance specific to your situation, help you understand the legal process, and ensure that your rights are protected throughout the claim process. They can even negotiate with your employer for you, which can resolve matters without resorting to legal action.
Lodge a Complaint
If you are unable to resolve the underpayment issue directly with your employer, you have the right to lodge a complaint.
The Fair Work Commission and the Fair Work Ombudsman are responsible for handling underpayment claims and enforcing compliance with employment laws.
Visit their websites or call their helplines to seek guidance on lodging a complaint and initiating the claims process.
Keep a Record of Correspondence
Throughout the underpayment claim process, be sure to keep copies of all correspondence with your employer, legal representatives, unions, and any relevant authorities. This includes emails, letters, and notes from meetings or phone conversations.
These records will serve as evidence and documentation of your efforts to resolve the underpayment issue.
Be Prepared for Different Outcomes
While making an underpayment claim is your right, it’s important to be prepared for different outcomes. Your employer may agree to rectify the underpayment promptly, negotiate a settlement, or contest the claim.
In some cases, the matter may escalate to legal proceedings. Understanding the potential outcomes will help you make informed decisions and prepare for what lies ahead.
Creating Fair Workplaces
Knowing your rights and being prepared to make an underpayment claim is crucial in safeguarding yourself against wage theft.
Familiarise yourself with your entitlements, gather evidence, seek professional advice, and be prepared to lodge a complaint if necessary. Remember to document all correspondence and be aware of potential outcomes.
By asserting your rights and standing up for fair pay, you contribute to creating a more equitable work environment.