Sydney hair salon penalised more than $77,000 for underpaying teen apprentice in her first job

The operator of a Sydney hair salon has been penalised more than $77,000 for underpaying a teenage apprentice in her first job.

The operator of a Sydney hair salon has been penalised more than $77,000 for underpaying a teenage apprentice in her first job.

The operator of a Sydney hair salon has been penalised more than $77,000 for underpaying a teenage apprentice in her first job more than $14,000.

The Federal Circuit Court penalised Jakoub Abboud $7873.20 and his company Hair Rass-Me, which formerly operated a salon of the same name at the Westfield Penrith shopping centre, a further $70,000.

The apprentice generally worked 50-hour weeks but was paid weekly amounts that did not meet the award minimum.

In one week, the apprentice was paid $300 despite being entitled to $653.90.

Hair-Rass Me underpaid the employee $14,507 between July 2015 and July 2016, when she was aged between 15 and 17. The court ordered Mr Abboud and his company to backpay the employee in full, plus interest.

The underpayments occurred despite Mr Abboud being aware of the lawful obligation to pay minimum award entitlements, following dealings with the Fair Work Ombudsman.

Fair Work Ombudsman Sandra Parker said the court had sent a strong message to employers that underpayment of vulnerable young workers was unacceptable conduct.

“Young workers, including apprentices, are often not fully aware of their entitlements and we find that they are reluctant to complain, which can make them particularly vulnerable to expolitation,” Ms Parker said.

“Employers have a lawful responsibility to make themselves aware of the minimum wages and entitlements that apply to their employees, and to pay them in full. Ignorance of the law is never an acceptable defense for exploitation of workers.”

Most of the underpayment related to overtime entitlements. Mr Abboud’s company failed to correctly pay the employee minimum apprentice rates for ordinary hours, penalty rates for weekends and public holidays and annual leave entitlements.

The company also failed to pay any superannuation for the apprentice and failed to reimburse her the cost of a training course, as required under the Award.

Mr Abboud and his company breached workplace laws during the FWO’s investigation by failing to comply with a Notice to Produce employment records.