If an employer is in breach of its obligations under the Fair
Work Act and Modern Awards, what types of penalties could be
imposed?
Can “individuals” associated with the employer also
face penalties?
These matters were considered by the Federal Circuit Court in a
recent decision in the matter of Ava Travel.
The Facts
The Fair Work Ombudsman (FWO) brought a claim against a company
and its director, relating to three employees.
The company had engaged the workers as coach drivers driving
tourists around south east Queensland. The employees were paid a
simple flat rate of $20.59 for all hours worked. Had they been paid
in accordance with their relevant Modern Award, they would have
been entitled to a number of other benefits including minimum
engagement pay, loadings and penalty rates.
