Cleaning company in court
12 May 2021
This media release was amended to make it consistent with an amended statement of claim.
The Fair Work Ombudsman commenced legal action in the Federal Circuit Court against Sydney-based cleaning services provider Green Clean (Aust) Pty Ltd, and manager Kareena Colton on 8 May 2020.
The workplace regulator alleges that Green Clean underpaid two casual workers, failed to provide payslips, and gave a Fair Work Inspector false or misleading documents.
The FWO alleges the manager, Ms Colton, was involved in underpaying the two casual workers, the payslip contraventions and also providing false or misleading documents to a Fair Work Inspector.
The alleged underpayments occurred when two casual employees, who were student visa holders and worked for Green Clean between 19 March and 6 June 2019, were paid wages below their minimum entitlements.
This included underpayments of minimum wages, casual loading, broken shift allowance, penalty rates and overtime that the FWO alleges the employees were entitled to under the Cleaning Services Award 2010. The workers were also allegedly not paid superannuation.
During the investigation, an inspector issued Green Clean a Notice to Produce that required the business to provide specified records or documents, including documents relating to terms of engagement for one of the employees.
The FWO alleges that Ms Colton, on behalf of Green Clean, provided the inspector with emails purportedly sent to the employees on two dates in March and April 2019. Attached to these emails were ‘independent contractor agreements’ that set out terms and conditions of engagement by Green Clean.
The FWO alleges that the two emails were not sent to the employees on those dates, or at all during March or April 2019.
This is the second time the FWO has litigated against Green Clean. In 2016, the regulator obtained a penalty of $9,450 for Green Clean’s failure to comply with a Compliance Notice.
Fair Work Ombudsman Sandra Parker said that the regulator will take appropriate action to enforce the law during the COVID-19 pandemic, particularly if businesses have a history of non-compliance.
“Under the Fair Work Act, Notices to Produce are important information gathering tools used by inspectors to determine whether employees have received their lawful entitlements,” Ms Parker said.
“Where we believe an employer has provided false or misleading information or documents to an inspector, we will take appropriate action. A court can then order the employer to pay penalties in addition to back-paying workers.”
“Businesses that the Fair Work Ombudsman has found repeatedly breaching workplace laws can expect court action. Any employees with concerns about their pay or entitlements should contact us for assistance,” Ms Parker said.
The FWO is seeking penalties against Green Clean and Ms Colton.
Green Clean is facing maximum penalties of $63,000 per contravention and Ms Colton is facing maximum penalties of $12,600 per contravention.
Green Clean rectified the underpayments after receiving a contravention letter from the FWO.
The FWO encourages all public and private businesses to review their cleaning contracts and apply for certification of employment sites through the Cleaning Accountability Framework. This industry-led initiative promotes the adoption of best practice throughout the cleaning supply chain to improve labour and cleaning standards across Australia.
Employers and employees can visit www.fairwork.gov.au or call the Fair Work Infoline on 13 13 94 for free advice and assistance about their rights and obligations in the workplace. A free interpreter service is available on 13 14 50.
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Media inquiries:
Ryan Pedler, Assistant Director - Media
Mobile: 0411 430 902
ryan.pedler@fwo.gov.au
