Fair Work Ombudsman v Hongyen Pty Ltd

The Fair Work Ombudsman (FWO) brought proceedings against Hongyen Pty Ltd (Hongyen) in the Federal Circuit and Family Court of Australia. The dispute concerned alleged contraventions of the *Fair Work Act 2009* (Cth) by Hongyen, specifically in relation to the underpayment of wages to an employee. The FWO sought declarations of contravention, pecuniary penalties, and orders for the repayment of outstanding wages.

The central legal issue before the Court was whether Hongyen had contravened the *Fair Work Act 2009* (Cth) by failing to pay an employee the minimum wages and entitlements due under the applicable modern award and the National Employment Standards. This involved determining the correct classification of the employee, the appropriate award provisions, and the calculation of the total amount of underpaid wages. The Court also had to consider whether the contraventions were serious and whether pecuniary penalties should be imposed.

Judge Brown found that Hongyen had contravened the *Fair Work Act 2009* (Cth) by failing to pay the employee minimum wages and entitlements as required by the relevant award and the National Employment Standards. The Court determined that the employee had been underpaid a total of $10,998.70. In reaching this conclusion, the Court applied the principles of statutory interpretation to the *Fair Work Act 2009* (Cth) and the relevant award, and considered the evidence presented regarding the employee's duties and the wages paid. The Court found the contraventions to be serious, noting the significant period over which the underpayments occurred and the employer's failure to rectify the situation.

The Court ordered Hongyen to pay the outstanding wages of $10,998.70 to the employee. Additionally, Hongyen was ordered to pay pecuniary penalties totalling $13,200 to the Commonwealth.