A MAITLAND furniture delivery business will pay more than $11,000 in fines after court proceedings over a breach of a young worker's rights the Fair Work Ombudsman says was deliberate.
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The Federal Circuit and Family Court imposed a $5661 penalty against Mariano Ezequiel Lobos, the sole trader of RBE Transport, while Ms Jamie Lobos will pay the same fine over her involvement in managing the business.
The Fair Work Ombudsman said the penalties related to a failure to comply with backpaying entitlements to a former furniture delivery assistant who worked for the company between December 2020 and July 2021.
The employee was 18 years old at the beginning of the period in question.
The payment had been subject to a compliance notice, and Ms Lobos was allegedly involved in the contravention.
An inspector issued the compliance notice in September 2021 based on the belief the worker, whose employment was ending, had not been paid accrued but unused annual leave owed under the awards.
Judge Sophie Given found the failure to comply was deliberate and the evidence indicated a lack of contrition.
In a statement the Fair Work Ombudsman said Ms Lobos had emailed the watchdog during the proceedings , stating in part, "I am happy to make a payment to him but I am unable to pull money from the air".
Judge Given found there was a need to impose penalties to act as a deterrent to others.
The court ordered full repayment plus interest, but the Fair Work Ombudsman said the former staff member had only received partial reimbursement to date.
Fair Work Ombudsman Sandra Parker said court penalties could stem when businesses failed to act on compliance notices, adding to their costs.
"When compliance notices are not followed, we are prepared to take legal action to ensure workers receive their lawful entitlements," Ms Parker said.
"Employers also need to be aware that taking action to protect young workers continues to be a priority for the agency. Any employees with concerns about their pay or entitlements should contact the FWO for free assistance."
The Fair Work Ombudsman investigation began after a request for assistance from the shortchanged worker.
Matt Carr
Matt began his Newcastle Herald career as a cadet in 2009. He is a Walkley nominated reporter who has covered councils, police and general news rounds across the Upper Hunter, Port Stephens, Maitland, Lake Macquarie, Cessnock and Newcastle. Now his focus is on digital storytelling and breaking news.
Matt began his Newcastle Herald career as a cadet in 2009. He is a Walkley nominated reporter who has covered councils, police and general news rounds across the Upper Hunter, Port Stephens, Maitland, Lake Macquarie, Cessnock and Newcastle. Now his focus is on digital storytelling and breaking news.
