New Fair Work Ombudsman prepared to seek criminal wage theft penalties if legislation changes

Australia’s new Fair Work Ombudsman says she is prepared to seek criminal wage theft penalties against dodgy employers, firing an early warning shot to businesses deliberately flouting the law.

The federal government is currently pushing to criminalise wage theft under the Fair Work Act, a move which would expose employers who intentionally withhold earnings from workers to new and hefty penalties.

Under the proposed legislation, penalties could extend up to ten years’ imprisonment, or fines of up to $7,825,000.

Civil remedy provisions against wage exploitation already exist, exposing employers to significant fines.

Separately, state jurisdictions like Victoria have established their own wage theft criminalisation penalties, exposing local businesses to harsh enforcement measures.