Workplace OMBUDSMAN v Qmgim Pty Ltd

In the Federal Court of Australia, Workplace Ombudsman filed a case against Qmgim Pty Ltd and two of its directors, the second and third respondents, alleging breaches of the Insurance Industry Award 1998. The Ombudsman claimed that Qmgim Pty Ltd had failed to pay its employees Michael Lee and David Stone various amounts, including wages, long service leave entitlements, and tropical allowances. The case required the court to determine whether Qmgim Pty Ltd and the respondents had contravened the award by not paying the specified amounts to the employees.

The court had to decide whether the respondents had indeed failed to pay the employees the amounts claimed and, if so, whether the second and third respondents were also involved in these contraventions. The Ombudsman argued that Qmgim Pty Ltd, through its directors, had deliberately or negligently failed to pay the employees the amounts they were owed under the award. The respondents argued that they had taken all reasonable steps to comply with the award and that any failure to pay was due to administrative errors rather than deliberate non-compliance.

The court found that Qmgim Pty Ltd had failed to pay the employees the amounts claimed and that the second and third respondents were involved in these contraventions. The court declared that Qmgim Pty Ltd had breached the award by not paying Michael Lee and David Stone their wages, long service leave entitlements, and tropical allowances. The court also found that the second and third respondents were involved in each contravention of the first respondent. A penalty hearing was fixed for 10 March 2010 to determine the penalties for the contraventions. The court issued several orders, including deadlines for filing further evidence and submissions on penalty, and required the respondents to calculate and respond to the annual leave loading payable to David Stone.