Gladstone’s Oaka Constructions denies allegations from Fair Work Ombudsman over payout

A tradie formerly employed by a Gladstone construction business is allegedly owed more than $7500, according to the chief workplace regulator.

Oaka Constructions Qld Pty Ltd denies allegations from the Fair Work Ombudsman of failing to back pay a worker's entitlements following a Compliance Notice in July 2022. Picture: Supplied

A Central Queensland construction company will face court after allegedly disobeying directions from a national regulator to back pay a former worker’s entitlements.

The Fair Work Ombudsman will take Oaka Constructions Qld Pty Ltd to court next month and seek a penalty of more than $30,000, alleging the Gladstone-based company failed to abide by a Compliance Notice stemming from a complaint about a redundancy payout.

Oaka Constructions strenuously denies the allegations.

Investigations commenced after a request for assistance from a carpenter previously employed between 2010 and 2021.

A Fair Work Inspector issued the Notice in July 2022 after forming the view the company had underpaid the worker’s redundancy entitlements, owed under the Building and Construction General On-site Award 2020.

The Ombudsman alleges Oaka, without reasonable excuse, failed to comply with the direction to calculate and back pay the worker’s entitlements.

Fair Work is seeking a penalty of up to $33,300 in court, which would encompass the worker’s entitlements plus interest and superannuation.

According to the Statement of Claim, the Ombudsman believes Oaka owes the former employee $7,618.

Oaka Constructions general manager, Kelly Barbarich said the company strenuously denied the allegations and was seeking legal advice.

“Given that the matter is now before the courts, it is inappropriate to comment further on the matter at this time,” Mr Barbarich said.

Fair Work Ombudsman, Sandra Parker, said the regulator would continue to enforce workplace laws and take businesses to court where lawful requests were not complied with.

A directions hearing is listed in the Federal Circuit and Family Court in Brisbane on February 24.