The Fair Work Ombudsman has won $28,195 in penalties against the operators of a Port Melbourne cosmetics clinic after a court found they failed to comply with a notice to back‑pay two employees and issued a false and misleading pay slip.
In the Federal Circuit and Family Court, Port Melbourne Cosmetic Clinic Pty Ltd, which operates Bayside Skin and Laser Clinic, was fined $23,496. The company’s sole director, Robin Abdelmalek, was ordered to pay a further $4,699 for his involvement.
The penalties follow the company’s admission that it breached the Fair Work Act by failing to comply with a Compliance Notice requiring back‑payments to two staff and by providing a false and misleading pay slip to one of them. The workers were employed at the Port Melbourne clinic between August and October 2022, one as a part‑time nurse and the other as a full‑time clinic manager. The company repaid the outstanding amounts only after the Ombudsman commenced legal proceedings.
Fair Work Ombudsman Anna Booth said business operators who ignored Compliance Notices risked court‑ordered penalties as well as back‑pay orders. “When Compliance Notices are not followed, we will continue to take legal action to protect employees. Employers who fail to act on these notices risk substantial penalties in addition to the need to pay workers amounts required by such notices,” Ms Booth said.
Ms Booth also warned that falsifying pay records was a serious contravention. “Pay slips provide employees with the clarity they need about their pay, and we expect every employer to follow laws requiring them to provide pay slips to their employees within one business day of them being paid,” Ms Booth said. “Any employees with concerns about their pay or entitlements should contact the Fair Work Ombudsman for free assistance.”
A Fair Work Inspector issued the Compliance Notice in June 2023 after forming a belief that the company had underpaid minimum entitlements under the Nurses Award 2020 and the National Employment Standards. The inspector believed the nurse was only partially paid for her final two weeks of work and was not paid accrued but untaken annual leave on termination, and that the clinic manager was not paid one week’s wages in lieu of notice.
In her judgment, Judge Catherine Symons underscored the need for deterrence. “It has been repeatedly emphasised in penalty cases that general deterrence must serve a purpose that ensures that any penalty imposed is not seen as ‘the cost of doing business’,” Judge Symons said. “Penalties must be set at a level which demonstrates that there are serious consequences for non-compliance, to deter others from failing to comply.”
Judge Symons also highlighted the importance of pay slip compliance, finding that “there is a continued need to remind the community of the important role that payslips play in the protection of employee entitlements”.
The FWO began investigating after a request for assistance from the affected workers. The agency offers a free online Compliance Notice course, as well as a pay calculator and a Small Business Showcase, via its website. The clinic has been contacted for comment.