Queensland labour-hire company NQ Powertrain faces court for alleged underpayment of 87 visa holders
The Fair Work Ombudsman has commenced legal action against a labour-hire company that operated on farms in Far North Queensland, alleging it underpaid visa holders almost $50,000.
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The Fair Work Ombudsman has commenced legal action against a labour-hire company that operated on farms in Far North Queensland, alleging it underpaid visa holders almost $50,000.
Investigators allege that NQ Powertrain, who has ceased trading, made unlawful accommodation deductions from each worker’s wages in excess of $1000 more than was required.
This was in conjunction with further illegal deductions for transport costs and underpayments of Sunday overtime rates, time-off-in-lieu entitlements and minimum pay under the Horticulture Award.
It is alleged NQ Powertrain had deducted $49,933 from the wages of 87 workers it employed under the Pacific Labour Scheme and Seasonal Worker Program between December 2018 and May 2020.
Brisbane’s Kasey Rudd established NQ Powertrain Pty Ltd in 2011 alongside other small business endeavours that included designing and importing a range of children’s clothing from Bali, Indonesia and owning a Deli Cafe in Mission Beach, her LinkedIn profile said.
“Her focus and passion for business, professional development and success in her early career has naturally led her towards training, development and recently, recruitment,” the profile continued.
More than $42,000 of the deductions were made for accommodation at either a boarding house in Mareeba or a farmhouse in Tolga and FWO Sandra Parker said taking action to improve compliance in the agriculture sector was high-priority.
“This sector engages many vulnerable workers, such as visa holders, who may be unaware of their rights or unwilling to speak up. Employers who fail to deliver all their employees’ entitlements – including due to unlawful deductions – will be found out and risk facing penalties,” Ms Parker said.
The workers were from countries including Papua New Guinea, Vanuatu and Solomon Islands picked, sorted and packed fruit and vegetables and performed general labouring and housekeeping tasks on the farms.
It is alleged the workers were employed by NQ Powertrain for periods of between one to 16 months, and that the company supplied them temporarily to farms at locations near Cairns, including Innisfail, Tolga, Walkamin, Mareeba, Upper Daradgee and Mourilyan.
Alleged individual underpayments ranged from $17 to $2,041. NQ Powertrain has rectified the alleged underpayments in full.
The company faces penalties of up to $63,000 per contravention totalling to over $5.3 million.
Initial hearings begin in the Federal Circuit and Family Court in Brisbane on 1 December 2022.
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