On Dec. 16, AST Fair Work summarized new laws re underpayment.
AST Fair Work issued update on criminal underpayment laws starting Jan. 1, 2025.
Follows AST GVT Dec. 2024 issued small business wage compliance code, #237359.
Overview of Updates
Reminded that intentional underpayment of employee wages or entitlements becomes offense, excluding honest mistakes; regulators can investigate suspected criminal underpayments, refer for prosecution; courts may impose fines and prison sentences.
Voluntary small business wage compliance code provides protection against criminal prosecution for compliant small businesses; those following code requirements and demonstrating no intent to underpay, will thus avoid criminal prosecution referral.
Guide includes tools, checklist, examples to ensure the correct employee payments.
Additional Changes
Increased max. penalties for underpayment contraventions by non-small businesses.
New entry-level classification definitions and minimum pay rates in selected awards.
Changes to classifications, minimum pay rates for some employees in aged care sector.