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Jobs 'black market' underpaying vulnerable workers, audit finds | Jobs 'black market' underpaying vulnerable workers, audit finds |
(about 1 month later) | |
Vulnerable foreign workers are being paid far below national standards in a jobs “black market”, according to a union investigation. | Vulnerable foreign workers are being paid far below national standards in a jobs “black market”, according to a union investigation. |
A two-year audit of local job advertisements on Chinese, Korean and Spanish websites, released by Unions NSW on Monday, found almost 80% of proposed rates were under the minimum award wage. | A two-year audit of local job advertisements on Chinese, Korean and Spanish websites, released by Unions NSW on Monday, found almost 80% of proposed rates were under the minimum award wage. |
Union secretary Mark Morey said the audit found a total underpayment of $1.62m across 200 job advertisements, which amounted to $8,000 per business over the course of a year. | Union secretary Mark Morey said the audit found a total underpayment of $1.62m across 200 job advertisements, which amounted to $8,000 per business over the course of a year. |
“The figures themselves are far in excess of what we thought the problem was,” Morey said. “There is a business model in Australia where people think they can pay community rates rather than the legal rates in this country and it’s a real problem across the board.” | “The figures themselves are far in excess of what we thought the problem was,” Morey said. “There is a business model in Australia where people think they can pay community rates rather than the legal rates in this country and it’s a real problem across the board.” |
Morey said foreign workers were often scared to speak out about being paid too little. | Morey said foreign workers were often scared to speak out about being paid too little. |
“Some people are just fearful of coming forward to complain about employers for the ramifications that may occur from that, such as having their visa cancelled,” he said. | “Some people are just fearful of coming forward to complain about employers for the ramifications that may occur from that, such as having their visa cancelled,” he said. |
The union gave examples of a Korean woman, Angela, who arrived in Australia four years ago and worked picking blueberries for about $6 an hour near Coffs Harbour. | The union gave examples of a Korean woman, Angela, who arrived in Australia four years ago and worked picking blueberries for about $6 an hour near Coffs Harbour. |
Meanwhile, a man from Hong Kong was paid $5 under the award wage in a Brisbane warehouse driving forklifts. | Meanwhile, a man from Hong Kong was paid $5 under the award wage in a Brisbane warehouse driving forklifts. |
Unions NSW is demanding greater powers under the Fair Work Act to inspect businesses’ wage books if they are suspected of ripping off workers. | Unions NSW is demanding greater powers under the Fair Work Act to inspect businesses’ wage books if they are suspected of ripping off workers. |
“We think there should be some powers given back to unions to be able to inspect wage books where they can demonstrate there is systematic wage theft going on,” Morey said. | “We think there should be some powers given back to unions to be able to inspect wage books where they can demonstrate there is systematic wage theft going on,” Morey said. |
The worst industries for underpayment were hospitality and cleaning, according to the union. | The worst industries for underpayment were hospitality and cleaning, according to the union. |
A spokesman for the federal employment minister, Michaelia Cash, said the government did not tolerate exploitation of workers. | A spokesman for the federal employment minister, Michaelia Cash, said the government did not tolerate exploitation of workers. |
“This is why the government has introduced the vulnerable workers legislation into parliament to protect workers and impose heavy penalties on employers who deliberately and systematically underpay them,” he said. | “This is why the government has introduced the vulnerable workers legislation into parliament to protect workers and impose heavy penalties on employers who deliberately and systematically underpay them,” he said. |
As for allowing unions greater powers to investigate underpayment, the spokesman said the Productivity Commission inquiry did not recommend changes to union entry. | As for allowing unions greater powers to investigate underpayment, the spokesman said the Productivity Commission inquiry did not recommend changes to union entry. |
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Australian politics | Australian politics |
Minimum wage | Minimum wage |
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