Bateau Bay Square: The Art of Hair and its directors facing Fair Work Ombudsman fines for allegedly underpaying apprentice
The employment watchdog has launched legal action against the operators of a Central Coast hair salon — including one director who is before the court for a third time. Full details here.
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The Fair Work Ombudsman (FWO) is taking a Central Coast hair salon and its operators to court chasing more than $60,000 in fines after the business allegedly underpaid an apprentice.
The employment watchdog has launched legal proceedings in the Federal Circuit and Family Court in Sydney against The Art of Hair — Bateau Bay Pty Ltd, which operates the Art of Hair salon in Bateau Bay Square shopping centre.
Also facing court are former company director Cheri Rance and the man allegedly responsible for the overall operation, management and control of the salon, Nelvin Lal.
It is the third time the FWO has taken legal action against Mr Lal personally.
In 2021, the FWO secured $68,440 in fines against Mr Lal and a company he managed and in 2014 it secured $162,000 in penalties against him and three hairdressing companies he operated.
The FWO also secured a $23,500 penalty in 2016 against a company formerly operated by Mr Lal.
The FWO investigated the current matter after receiving a request for assistance from an apprentice hairdresser who was employed at the Art of Hair salon between April 2021 and February 2022. She was aged 22 at the time.
A Fair Work inspector issued a compliance notice to the business in July 2023 after forming a belief that the worker was not paid personal leave entitlements during her employment and was not paid accrued but untaken annual leave entitlements when her employment ended.
It is alleged the entitlements were owed under the Fair Work Act’s National Employment Standards and the Hair and Beauty Industry Award 2010.
The FWO alleges the Art of Hair failed to comply with the compliance notice, which required it to calculate and pay the worker’s entitlements, without a reasonable excuse.
It is alleged Ms Rance and Mr Lal were involved in the contravention.
Fair Work Ombudsman Anna Booth said the regulator would continue to enforce workplace laws and take businesses to court where lawful requests were not complied with.
“Where employers do not comply, we will take appropriate action to protect employees. A court can order a business to pay penalties and make payments to workers,” Ms Booth said.
“It is particularly disappointing that Mr Lal has allegedly again been involved in workplace law breaches by a hairdressing business. He again faces a penalty for the alleged breach.
“Employers also need to be aware that taking action to protect against the exploitation of young workers is among our top priorities. Any employees with concerns about their pay or entitlements should contact the Fair Work Ombudsman for free assistance.”
The Art of Hair faces a penalty of up to $46,950 and Ms Rance and Mr Lal each face fines up to $9,390 if convicted in court.
The regulator is also seeking an order for the company to pay amounts allegedly owing to the employee, plus interest.
The matter goes to a directions hearing on October 10.
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