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Australian fruit grower repays $127,000 in unlawful wage deductions following fair work investigation

An Australian fruit-growing enterprise, R J Cornish, has entered into an Enforceable Undertaking (EU) with the Fair Work Ombudsman following the discovery of nearly AUD 127,000 (USD 80,147) in unlawful wage deductions from 112 casual employees. These employees, including 39 on working holiday visas, were engaged in fruit-picking activities involving peaches, pears, apples, lemons, and oranges across two orchards located in Cobram and Muckatah, northeast Victoria.

The investigation by Fair Work Inspectors in March 2024, part of a nationwide initiative to ensure compliance with wage and entitlement provisions, revealed that between July 2017 and June 2024, R J Cornish made deductions for the hire of power ladders, fuel for these ladders, and sprinkler damage, which were not in compliance with the Fair Work Act. The total deductions amounted to AUD 126,859 (USD 80,058), which were not primarily for the employees' benefit and were not lawfully authorized.

As part of the EU, R J Cornish has ceased these deductions and has back-paid AUD 123,249 (USD 77,754) to 108 employees, with efforts ongoing to locate four employees still owed AUD 3,610 (USD 2,277). Additionally, the company will make a contrition payment of AUD 5,500 (USD 3,469) to the Commonwealth Consolidated Revenue Fund and engage an independent auditor to ensure future compliance with the Horticulture Award 2020.

Fair Work Ombudsman Anna Booth has acknowledged the company's cooperation and commitment to rectifying the situation, emphasizing the importance of ensuring employees are compensated fairly for their labor.

Source: SIA

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