Toowoomba disability workers caught up in $1.5m underpayment by not-for-profit Wellways

Toowoomba disability workers are among the hundreds who are owed about $1.5m in back-pay by a national not-for-profit organisation.

Wellways has been revealed to have underpaid more than 500 staff by about $1.5m.

Dozens of Toowoomba workers are believed to be among the more than 500 current and former employees owed about $1.5m in wages by a national disability service provider.

Wellways Australia, which was previously known as Australian Health Call, reported the matter to the Fair Work Ombudsman in September last year after a review revealed it had underpaid full-time, part-time and casual workers between 2014 and 2020 across five states and territories, including 156 in Queensland.

According to the FWO, workers doing sleepover shifts were underpaid overtime entitlements and night shift penalties.

“The underpayments were the result of Wellways not having adequate payment systems and processes in place and not fully understanding its obligations under the award,” a statement from the ombudsman said in April.

“Staff were underpaid minimum entitlements as a result of Wellways incorrectly classifying them or failing to progress them, when eligible, from one pay-point to the next.”

While the exact number of Toowoomba staff affected has not been revealed, one former employee said there were as many as 30 people working with them several years ago.

That former employee was owed more than $2100 in entitlements, while some Queensland-based workers were owed as much as $34,000 when accounting for interest.

Wellways failed to respond to questions in time for publication, but a statement from CEO Laura Collister said the organisation had already paid back about one third of the owed amount.

Ms Collister said Wellways was “mortified” by the discovery it had underpaid staff.

“As at April 21, Wellways has back paid a total of $537,551 to 335 staff and continues to contact staff impacted by our payroll errors,” her statement said.

“Although these are genuine errors, we unreservedly apologise.

“On discovering the errors we were deeply mortified and have committed not only to rectifying the current situation, but also to establishing processes to ensure this can never happen again.”

Diann Fenwick, local spokeswoman for the United Workers Union, said the disability and community care sectors were “rife” with wage theft.

“United Workers Union represents industries rife with wage theft, and we welcomed Queensland’s wage theft laws coming into play in 2020 following years of campaigning by members,” she said.