Back payment debacle sees another Victorian business penalised

The Fair Work Ombudsman (FWO) has issued a strong warning to workplaces that fail to comply with Compliance Notices and back paying entitlements with a Melbourne-based bricklaying business becoming its latest target.

A $13,786 penalty has been imposed by the Federal Circuit and Family Court against sole trader Mark Joseph Sarlija, who operates Sarlijas Brick & Block Laying in Clyde North in Melbourne’s south-east.

The penalty was imposed in response to Mr Sarlija being involved in failing to comply with a Compliance Notice requiring the calculation and back-payment of entitlements to a young apprentice bricklayer he employed and failing to issue the apprentice with pay slips.

“Mr Sarlija employed the worker full time at his business between August and November 2020. The worker was aged 23 at the time,” a statement from the FWO noted.

“In addition to the penalty, the Court has ordered Mr Sarlija to take the steps required by the Compliance Notice, including back-paying the worker in full, plus interest and superannuation.”

The ruling came following a Fair Work investigation in response to a request for assistance from the affected worker.

“A Fair Work Inspector issued a Compliance Notice to Mr Sarlija in October 2021 after forming a belief he had not paid the worker all entitlements owed under the Building and Construction General On-site Award 2010 and the Fair Work Act’s National Employment Standards,” the statement continued.

“The inspector formed a belief the worker was underpaid the adult apprentice minimum wage, Saturday penalty rates, overtime rates and annual leave entitlements.’

Acting Fair Work Ombudsman Kristen Hannah said business operators that fail to act on Compliance Notices need to be aware they can face penalties in court.

“When Compliance Notices are not followed, we are prepared to take legal action to ensure workers receive their lawful entitlements,” Ms Hannah said.

“Employers also need to be aware that taking action to protect vulnerable workers, like young workers, continues to be a priority for the FWO. Any employees with concerns about their pay or entitlements should contact the FWO for free assistance.”

Recently, the FWO secured a total of $72,800 in penalties after the owners of Italian eatery Mother Dough were found to have failed to adhere to a Compliance Notice which mandated the calculation and subsequent back-payment of entitlements to a young waiter. Additionally, the operators were found to have neglected a Notice to Produce records.

In response to this matter, Ms Hannah reiterated that business operators disregarding official notices could face serious legal repercussions.

“When Compliance Notices and Notice to Produce are not followed, we are prepared to take legal action to ensure we can fully investigate matters and ensure workers receive their lawful entitlements,” she said.

“Employers also need to be aware that taking action to improve compliance in the fast food, restaurant and café sector and to protect young workers are priorities for the FWO.

“Any employees with concerns about their pay or entitlements should contact us for free advice and assistance.”