Fair Work Ombudsman v Bastawrose

The Fair Work Ombudsman (FWO) brought proceedings against Mr. Bastawrose, alleging contraventions of the *Fair Work Act 2009* (Cth) (the Act) concerning the underpayment of an employee. The dispute centred on whether Mr. Bastawrose was an employer within the meaning of the Act, and if so, whether he had contravened provisions relating to minimum wages and entitlements. The matter was heard in the Federal Circuit and Family Court of Australia.

The primary legal issue before the Court was to determine whether Mr. Bastawrose, as an individual, could be considered an employer responsible for the employee's entitlements under the Act, notwithstanding the existence of a corporate entity. This involved an examination of the relationship between Mr. Bastawrose, the employee, and the company, and whether the substance of that relationship pointed to Mr. Bastawrose personally assuming the role of employer. A further issue was the extent of any underpayment and the appropriate penalties for any contraventions found.

Judge Cameron found that Mr. Bastawrose was indeed an employer within the meaning of the Act. The Court's reasoning focused on the reality of the employment relationship, noting that Mr. Bastawrose exercised significant control over the employee's work, including directing their tasks, supervising their performance, and making decisions regarding their employment. The Court determined that the corporate veil did not shield Mr. Bastawrose from personal liability, as the evidence demonstrated he was directly involved in and responsible for the employment arrangements and the failure to provide minimum entitlements. The Court ordered Mr. Bastawrose to pay pecuniary penalties and to rectify the underpayments owed to the employee.