More than 50 workers a week reporting unfair treatment, says Legal Services Commission

Workplace issues – from underpayment of wages to “sham contracting” – are on the rise in SA, with more than 50 employees a week falling victims to unscrupulous practices.

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More than 50 South Australians are falling victim to unfair treatment – from prejudice towards the injured to underpayment of wages – at work every week, new figures show.

The Legal Services Commission says it fielded 2765 inquiries about workplace issues in 2018/19, up from 2501 the previous financial year.

Commission spokesman Chris Boundy said the 11 per cent increase was equal to 50 calls each week from underpaid, injured, young and casual employees, particularly those who had come from overseas.

Underpaid, injured, young and casual employees are making more than 50 inquiries every week. Picture: iStock

“People are often in the dark when it comes to their workplace rights, and that lack of knowledge can have terrible consequences for them and their families,” he said.

“They can fall victim to workplace treatment that is illegal – especially if they are young workers or have limited English.”

The minimum wage in SA is currently $19.49.

Last week, The Advertiser revealed a Chinatown employer had underpaid a worker by $25,000, forged pay slips and lied about it to a court.

It was ordered to pay the former employee $230,000 in compensation – but the man alleged his case was not unique, claiming other Chinatown workers were paid as little as $8 an hour.

In Melbourne, celebrity chef and former MasterChef host George Calombaris was fined $200,000 after admitting to underpaying his staff by nearly $8 million. Yesterday, Mr Boundy said the biggest issues facing SA’s workers included:

UNDERPAYMENT of employee wages.

WORKERS’ rights after a business becomes insolvent.

TREATMENT of staff returning to work having suffered an injury or taken extended leave.

EMPLOYMENT contracts.

WORKPLACE injury claims.

PRESSURE to take sick leave instead of lodging an injury claim.

INCORRECTLY classing employees as “casual”.

He said the biggest growth area for problems was an issue called “sham contracting”.

“These are situations where an employer pressures an employee to take out an ABN so they can be paid as a contractor rather than an employee,” he said.

“It means the worker misses out on lawful entitlements relating to wages, leave, superannuation and workers’ compensation.”

For free advice about workplace issues, contact the Legal Services Commission on 1300 366 424.

Originally published as More than 50 workers a week reporting unfair treatment, says Legal Services Commission