The Fair Work Ombudsman has secured a penalty of $28,350 in Court against UHY Sothertons Sydney Pty Ltd, a company which formerly operated a Sydney accounting firm.
The Federal Circuit Court imposed the penalty after finding the company had failed to comply with a Compliance Notice issued by the Fair Work Ombudsman requiring it to calculate and back-pay entitlements owing to four employees.
In addition to the penalty, the Court has also ordered UHY Sothertons Sydney to comply with the Compliance Notice, which includes rectifying underpayments in full, plus superannuation and interest.
Fair Work Ombudsman Sandra Parker said businesses that fail to act on Compliance Notices face court-imposed penalties in addition to having to back-pay any underpaid staff.
UHY Sothertons Sydney operated an accounting firm in Bondi Junction until it sold the business to another company in April 2019.
UHY Sothertons Sydney had employed the four employees, all of whom had their employment terminated when the business was sold.
Under the terms of the sale agreement, UHY Sothertons Sydney was responsible for paying out the employees’ final entitlements.
The Fair Work Ombudsman investigated after the employees lodged requests for assistance.
A Fair Work inspector issued the Compliance Notice after forming a belief that the employees had not been paid their accrued but untaken annual leave entitlements under the National Employment Standards.
As always, our team are here to support you with any questions you may have.
Already a subscriber?
Call our HR Advice Hotline to get quick verbal advice from our team of HR and employment law experts.
Login to Better HR management software to request written HR advice or to ask the HR tools you need to operate successfully.
Not yet a subscriber?
Schedule a chat with our friendly team to find out how Better HR tools and advice can help you and your business.