Fair Work Ombudsman v AIMG BQ Pty Ltd

Case

[2016] FCCA 1024

31 May 2016


Details
AGLC Case Decision Date
Fair Work Ombudsman v AIMG BQ Pty Ltd [2016] FCCA 1024 [2016] FCCA 1024 31 May 2016

CaseChat Overview and Summary

The Fair Work Ombudsman (FWO) commenced proceedings in the Federal Circuit and Family Court of Australia against AIMG BQ Pty Ltd (the Company) alleging contraventions of the *Fair Work Act 2009* (Cth) (the Act). The dispute concerned the Company's failure to pay a casual employee, Mr. K. Singh, the minimum hourly rate prescribed by the relevant modern award, the *Clerks – Private Sector Award 2020*, and to provide him with a Fair Work Information Statement at the commencement of his employment. The FWO sought pecuniary penalties for these alleged contraventions.

The primary legal issues before the Court were whether the Company had contravened section 50 of the Act by failing to pay Mr. Singh the minimum hourly rate stipulated in the *Clerks – Private Sector Award 2020* for the hours he worked as a casual employee, and whether the Company had contravened section 125 of the Act by failing to provide Mr. Singh with a Fair Work Information Statement. The Court was also required to determine the appropriate penalty to be imposed for any proven contraventions.

Judge Altobelli found that the Company had indeed contravened section 50 of the Act by failing to pay Mr. Singh the minimum casual rate of $25.00 per hour, as required by the *Clerks – Private Sector Award 2020*. The Court noted that the Company had paid Mr. Singh a flat rate of $20.00 per hour, which was below the award minimum. Furthermore, the Court found that the Company had contravened section 125 of the Act by failing to provide Mr. Singh with the requisite Fair Work Information Statement. In determining the penalty, the Court considered the objective seriousness of the contraventions, the need for deterrence, and the Company's lack of prior contraventions.

The Court ordered that AIMG BQ Pty Ltd pay a penalty of $1,500 for the contravention of section 50 of the Act and a penalty of $500 for the contravention of section 125 of the Act, totalling $2,000. The Company was also ordered to pay the FWO's costs.
Details

Areas of Law

  • Employment Law

Legal Concepts

  • Breach

  • Penalty

  • Remedies

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