The Fair Work Ombudsman has won $38,500 in penalties against the former operators of a United Petroleum outlet in Adelaide after underpaying staff and breaching pay slip and record-keeping laws.
The Federal Circuit and Family Court imposed a $35,000 penalty on Sai Enterprises Pty Ltd, which formerly ran the United Petroleum outlet at Queenstown, and $3,500 on the outlet’s former manager, Raman Monga.
An audit by the regulator found that in 2021 the company failed to pay three workers a total of $2,668 in accrued but untaken annual leave entitlements when their employment ended, as required under the National Employment Standards. All three workers were international students. The company also failed to issue pay slips within one working day of payment and did not have written agreements for part-time staff.
Mr Monga was penalised for his involvement in the failures to pay annual leave on termination for two of the workers, and for breaches of pay slip laws affecting all three workers. The workers were back-paid in full after the Ombudsman began investigating.
Fair Work Ombudsman Anna Booth said the penalties should serve as a warning to employers.
“All employers have a responsibility to ensure they pay their staff all lawful entitlements and issue them with pay slips – which are essential to workers understanding if they have been paid correctly,” Ms Booth said.
“We expect every employer to follow laws requiring them to provide pay slips to their employees within one business day of them being paid.
“Employers also need to be aware that taking action to protect migrant workers is a priority for the Fair Work Ombudsman. Anybody with concerns about their entitlements should contact the Fair Work Ombudsman for free assistance.”
Judge Stewart Brown said penalties were necessary to deter similar conduct, noting he accepted that the underpayments “were not trifling amounts for the individuals concerned and each was compelled to wait a significant time for reimbursement”.
“In addition, were it not for the fact of the FWO’s general investigation into United Petroleum outlets, it is unlikely that the shortfall would have ever been detected,” Judge Brown said.
Judge Brown also found that pay slips are central to upholding minimum wage standards. “Their prompt provision is essential to ensuring employees know what they have been paid; at what rate; over what period of time; so they can ensure the correctness of what they have been paid”, Judge Brown said.
The case is one of five brought by the Ombudsman against former operators of United Petroleum-branded outlets, following an investigation into the network prompted by concerns about non-compliance. The probe involved audits of 20 outlets across Tasmania, Queensland, NSW, Victoria and South Australia.
Two matters were finalised in February, with the Ombudsman securing $179,221 in penalties over underpayments at two United Petroleum-branded outlets in Tasmania. Another case concluded in August with Brisbane sole trader Navaneeth Gogikar penalised $15,984. A separate case against Melbourne sole trader Bharathi Karnati is ongoing. One of the FWO’s investigations is also ongoing.
The Ombudsman says it filed 146 litigations involving visa holder workers and secured nearly $23 million in penalties in cases that have included visa holders in the seven financial years to June 2024.
The Fair Work Ombudsman makes no allegations against the current operators of the United Petroleum outlet in Queenstown.
