University of Qld admits underpaying 9500 staff by almost $8m

The University of Queensland underpaid more than 9500 casual staff members to the tune of close to $8m over a number of years.

The University of Queensland has vowed to correct the underpayment of 9500 staff. File picture: David Clark

The University of Queensland underpaid more than 9500 casual academic and professional staff to the tune of close to $8m over seven years.

They are the third Queensland university this year to be caught up in staff underpayment issues - with James Cook University and Australian Catholic University.

UQ released a statement late on Monday night disclosing the error, which occurred between January 2017 and December 2023. It is writing to all current and former staff affected.

The underpayments were found during a review of the university’s pay processes and systems.

The UQ statement said 9743 staff were now owed a total of $7.88 million, excluding superannuation and interest, from the seven-year period.

“While staff were paid for the time they worked, the review identified two areas where the Enterprise Agreement, applicable at the time, was not always correctly applied,” the statement read.

“These relate to minimum hours of engagement for casual academic and casual professional staff and the use of a different pay rate for casual academic staff with a relevant PhD.”

The university has disclosed the underpayments to the Fair Work Ombudsman.

UQ Vice-Chancellor Professor Deborah Terry apologised to affected staff.

“The University is committed to paying staff correctly in a timely manner and in accordance with our Enterprise Agreement,” Professor Terry said.

BRISBANE, AUSTRALIA - NewsWire Photos NOVEMBER 25, 2022: Professor Deborah Terry at Australian Institute for Bioengineering and Nanotechnology (AIBN) University of Queensland Picture: NCA NewsWire / John Gass

“Our intention is to rectify these matters as soon as possible, and I would like to assure them they will receive all entitlements including superannuation and interest.

“We will be writing individually to all staff affected, both current and former staff, and providing information specific to their circumstances.

“The University is working through a comprehensive program of work to upgrade our systems and processes to further ensure ongoing pay accuracy.”

The university will now introduce a time sheet system, compulsory training for managers and staff, and additional fortnightly payroll reporting.

Last month, James Cook University released a statement saying it had “identified evidence of historical compliance concerns … with payroll systems and processes”.

The university believes casual employees “may not have been paid correctly” for minimum hours worked and other entitlements, and has launched a historical payroll system review, which will initially focus on the past six years.

JCU could not provide any initial numbers of affected staff or underpayment value.

It is the state’s second oldest university with campuses in Townsville, Cairns, Rockhampton, Mackay, Mount Isa, Thursday Island, Brisbane, and Singapore.

In January, Australian Catholic University released a shock statement disclosing a similar payroll discrepancy, which occurred between 2016 and 2023.

The institution, with a campus in Banyo on Brisbane’s northside, admitted to underpaying 1100 casual academic staff to the tune of around $3.6 million over those seven years.

An extensive audit identified inaccuracies in how entitlements were calculated.

The issues related to unpaid or underpaid entitlements for sessional staff with PhD qualifications, or academics who were subject/unit co-ordinators or lecturers-in-charge.