Results of NT hair and beauty campaign

15 June 2012

The Fair Work Ombudsman today released the findings of a campaign focussing on the entitlements of employees in the hair and beauty industry in the Northern Territory.

Fair Work inspectors checked the books of 13 employers, including nine who had previously been audited in 2009 and found to have contraventions.

In the latest round of audits, inspectors found six businesses (46 per cent) to be compliant with their workplace obligations.

The remaining seven (54 per cent) recorded contraventions relating mainly to underpayment of entitlements and payslip requirements.

Three businesses were requested to back-pay a total of $4508 to seven employees, six of whom were juniors, including five apprentices.

One employer remains under investigation.

Only three of the nine employers found to have contraventions in 2009 and re-audited again this year were found to be compliant.

The Fair Work Ombudsman has encountered lower than normal compliance levels in the hair and beauty industry in the NT for a number of years.

Between 2008 and 2009, Fair Work inspectors noted that of all hair and beauty businesses they investigated in the NT following complaints from staff, 64 per cent were found to have contraventions.

These contraventions required employers to back-pay staff a total of $6889.

In 2009, the Fair Work Ombudsman mounted a targeted education and compliance campaign and audited 18 hair and beauty businesses across the Territory.

It found that seven salons (39 per cent) were compliant with their obligations and 11 (61 per cent) recorded contraventions.

Six of the 11 employers found to have contraventions were required to reimburse 21 of their employees a total of $6953 in back-pay.

The 2012 Fair Work Ombudsman report notes that the slight improvement in compliance since 2009 is disappointing.

It also points to a need for ongoing education of employers about junior and apprentice wage rates following further underpayments of this vulnerable group in the workforce.

“The results of this audit program show there is a need for further intervention in this industry,” the report says.

Fair Work inspectors noted that many of the employers they visited reported that they were not members of an employer association and were unsure about where to access information about their workplace obligations.

Employers or employees seeking information and advice can visit www.fairwork.gov.au or call the Fair Work Infoline on 13 13 94.

The website has a number of tools and resources, including PayCheckPlus and an Award Finder, to assist business owners to calculate the correct pay for their employees.

PayCheck Plus calculates minimum rate of pay per hour, per shift or per week and takes account of payments for overtime, penalty rates and allowances.

An ‘Industries’ section on the website provides extra, specialised information for employers and employees in the hair and beauty, security, retail, cleaning, clerical, vehicle, horticulture, fast food and hospitality industries.

Follow the Fair Work Ombudsman on Twitter @fairwork_gov_au external-icon.png or find us on Facebook external-icon.png.

Employers can also sign up to a regular e-newsletter with helpful tips and information on employment practices.

A copy of the NT Hair and Beauty Follow-up Audit Program Report is available on the website.

NT Hair & Beauty Follow-up Audit report (PDF 98.8KB)
NT Hair & Beauty Follow-up Audit report (RTF 68.6KB)

Media inquiries:

Ryan Pedler, Assistant Director, Media & Stakeholder Relations,
(03) 9954 2561, 0411 430 902
ryan.pedler@fwo.gov.au

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