13 October 2009

$22,500 fine for underpayment of South-West truck drivers

A West Australian transport company has been fined $22,500 for underpaying two truck drivers almost $50,000.

The Federal Magistrates Court in Perth has imposed the penalty on the Palcon Group Pty Ltd following a prosecution by the Fair Work Ombudsman.

Palcon operates from Australind primarily transporting timber.
The company admitted in court that it had significantly underpaid bonus payments provided for in the drivers’ workplace agreements.

One was underpaid $28,552 over two years from 2005 to 2007 and the other by $19,027 over 10 months in 2005-06.

Handing down his decision, Federal Magistrate Robert Cameron said: “The position of workers is protected by the law and that protection should be enforced by the courts.

“Such protection involves sending a message to other participants in the relevant industry that such conduct will not escape punishment.”
Palcon back-paid the drivers, whom it no longer employs, in June this year.

Fair Work Ombudsman Executive Director Michael Campbell says the case sends a strong message that companies cannot dishonour agreements they make with employees.

“The Fair Work Ombudsman takes its role of protecting and enforcing the rights of workers seriously,” Mr Campbell said.

The Fair Work Ombudsman promotes harmonious, productive and co-operative workplaces. It also monitors compliance and investigates breaches of national workplace laws.

Employers or employees seeking assistance should contact the Fair Work Infoline on 13 13 94 or visit www.fwo.gov.au. For translations call 13 14 50.

Media inquiries:

Craig Bildstien, Director Media & Stakeholder Relations,
0419 818 484
craig.bildstien@fwo.gov.au

Ryan Pedler, Media & Stakeholder Relations Senior Adviser
(03) 9954 2561, 0434 365 924
ryan.pedler@fwo.gov.au