The penalty was announced by the Fair Work Ombudsman yesterday as part of an enforceable undertaking. It comes after a four-year investigation into Calombaris’ historic under-payment of staff. It also includes a $200,000 fine for underpaying $7.83 million in wages to over 500 current and former employees.
Calombaris was reported in the Age as saying he is "committed to acting as a force for change in the industry and leading by example".
A range of breaches were uncovered across the celebrity chef’s MAdE group empire, including failing to pay minimum award rates, penalty rates, casual loadings, overtime rates, split-shift allowances and annual leave loadings. These have been attributed to “historical poor payroll processes”.
MAdE Establishment’s large back-payment bill is an incentive for all employers to get their workplace compliance right from the outset, in order to avoid hefty fines and damage to their reputation.
Whatever industry your business operates in, it is crucial to get the right advice in the first place and then be proactive in ensuring your payroll processes are compliant. For support in this area, contact your Pitcher Partners expert, or read our articles on the common pitfalls associated with payroll and strategies to stay on top of your obligations.