Fair Work Ombudsman v Wynn Sichuan Pty Ltd and Ors and Fair Work Ombudsman v Nine Dragons Pty Ltd and Ors

In the Federal Circuit Court of Australia, Judge Riethmuller considered penalty proceedings brought by the Fair Work Ombudsman against Wynn Sichuan Pty Ltd and its directors, and against Nine Dragons Pty Ltd and its directors. The dispute concerned contraventions of the *Fair Work Act 2009* (Cth) and the *Restaurant Industry Award 2010*, specifically the failure by the respondents to pay minimum entitlements to employees and to provide them with payslips and maintain proper employment records. The parties had reached an agreement regarding the appropriate penalty range for the contraventions.

The court was required to determine the appropriate penalties to be imposed on the corporate respondents and their directors for the admitted contraventions. This involved considering the nature and seriousness of the breaches, the need for deterrence, and the agreed penalty range. The court also had to assess whether the directors were knowingly concerned in, or party to, the contraventions by the companies.

Judge Riethmuller applied the principles governing the imposition of penalties under the *Fair Work Act 2009* (Cth), which include considering the objective seriousness of the contravention, the need to deter future contraventions, and the need to ensure compliance with workplace laws. The court noted the agreement between the parties on the penalty range but retained its discretion to impose a penalty within or outside that range if warranted. The court found that the directors were knowingly concerned in the contraventions and were therefore personally liable for penalties.

Ultimately, the court imposed penalties on both corporate respondents and their respective directors, reflecting the seriousness of the failures to comply with minimum award entitlements and record-keeping obligations. The penalties were designed to punish the contraventions and deter future breaches of workplace laws by the respondents and others in similar positions.