FWO stings former fuel operators for underpayment

The Fair Work Ombudsman (FWO) has accused the former operators of a petrol station on the NSW Central Coast of underpaying two migrant workers more than $50,000.

Kamaldeep Singh and his wife Uma Singh face the federal circuit court regarding alleged conduct at a Metro Petroleum. They formerly operated this petrol station on the Pacific Highway in the suburb of Doyalson. Mr Singh’s company, Sinpek, also faces court.

The FWO alleges that Sinpek failed to pay:

  • Minimum rates to the two workers for ordinary hours.
  • Penalty rates for overtime, weekend and public holidays.
  • Shift-work loadings; and

Various leave entitlements under the Vehicle, Manufacturing, Repair, Services and Retail Award 2010.

The workers were Indian nationals from non-English speaking backgrounds, whom Sinpek employed as console operators.

Details of the alleged underpayment

It’s alleged that from May 2015 to August 2016, Sinpek underpaid the male employee $28,157 and the female employee $24,607.

Further, it’s alleged that Sinpek twice breached the Fair Work Act’s prohibition on unreasonable requirements to pay an employer money relating to performance of work.

Sinpek allegedly required the male employee to cover the loss from a customer who drove off without paying for fuel. The company also allegedly required him to pay part of Sinpek’s income tax relating to his work for Sinpek.

The two workers were on bridging visas and applying for Regional Sponsored Migration Scheme visas through Sinpek. The company terminated their jobs in August 2016.

Migrant workers ‘particularly vulnerable’

“The FWO prioritises matters involving the alleged underpayment of visa workers as they can be particularly vulnerable in the workplace and reluctant to complain,” FWO Sandra Parker said. “These vulnerabilities can unfortunately be exacerbated when the employer is from the same cultural background as the affected workers.

“All employers must pay migrant workers the minimum wage rates that apply to all workers across Australia. Any workers who are concerned about their wages or entitlements should contact the FWO.”

Sinpek faces penalties of up to $54,000 per breach and up to $27,000 for record-keeping and payslip breaches.

The Singhs face penalties of up to $10,800 per breach and up to $5,400 for record-keeping and payslip breaches.

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