The committee found that wage theft is “systemic, sustained and shameful” and is often “a deliberate decision of businesses that participate in a race to the bottom to bring down wages and increase profit.” Underpayment and unpaid superannuation is estimated to total in excess of $6 billion a year.
The report cited RLC’s joint submissions with WEstJustice extensively, making 19 recommendations, including that changes are made to the Fair Work Act 2009 to criminalise wage theft in Australia. Such reforms would mean that exploitative employers could be criminally prosecuted for the theft of all employee wages, including loadings, penalty rates, overtime, leave, allowances and the superannuation guarantee.
Last year Redfern Legal Centre, Kingsford Legal Centre and Inner City Legal Centre established the Employment Rights Legal Service, which provides free legal advice to migrants and vulnerable workers in NSW.
Migrant workers often face additional barriers when trying to find work, accessing the legal system, and enforcing their employment rights.
“It is a brutal fact that many migrant workers simply accept wage theft as the status quo,” RLC employment lawyer and ERLS coordinator, Sharmilla Baron said.