Fair Work Ombudsman v Primeage Pty Ltd

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

The primary legal issue before the Court was whether Primeage had contravened section 50 of the *Fair Work Act 2009* (Cth) by failing to pay an employee the minimum wages and entitlements owed under the relevant award. This involved determining the correct classification of the employee under the applicable award and calculating the minimum wages and entitlements that should have been paid. The Court also considered whether the contraventions were serious and whether penalties should be imposed.

Judge Riethmuller found that Primeage had contravened section 50 of the *Fair Work Act 2009* (Cth) by failing to pay the employee the minimum wages and entitlements due under the relevant award. The Court determined that the employee had been incorrectly classified, leading to significant underpayments. In reaching this decision, the Court applied the principles of award interpretation and wage calculation, emphasising the employer's obligation to ensure compliance with minimum employment standards. The Court also found that the contraventions were serious, noting the extent of the underpayments and the duration over which they occurred.

The Court ordered Primeage to pay pecuniary penalties totalling $10,200 for the contraventions. Additionally, Primeage was ordered to rectify the underpayments by paying the employee the sum of $10,178.30, plus superannuation and interest.