What is wage theft?
Wage theft happens when your employer doesn’t pay you the minimum monetary amount, or allowances and entitlements that are outlined in the agreement or award that you work under, and that includes compulsory superannuation.
It can happen by mistake, but often wage theft is a deliberate action taken by your boss to steal money that you are rightly and lawfully entitled to.
The national minimum wage
From 1 July 2020, the minimum wage is $19.84 an hour, or $753.80 for a 38-hour week.
Casual employees are entitled to a 25 percent loading on top of that.
However, because of the COVID-19 pandemic, the increase will be implemented over time.
Group one awards will receive the increase from 1 July 2020.
- social assistant workers;
- teachers and childcare workers; and
- other essential services.
Group two awards will receive the increase from 1 November 2020.
- legal services; and
Group three awards will receive the increase from 1 February 2021.
- fast food;
- hospitality; and
Click here to find out when your award will increase.
Different forms of wage theft
There are many different ways employers steal wages and entitlements from their employees.
- paying less than the minimum hourly rate;
- failure to pay penalty rates, overtime and allowances;
- taking unlawful deductions from wages for things like breakages, till shortages and accommodation;
- refusing to allow leave;
- demanding wages be paid back in “cash-back” schemes;
- paying employees in cash “off the books”; and
- unpaid work experience or internships.
Employers are required to make superannuation contributions for employees who are:
- 18 years-old or over and are paid at least $450 before tax in salary or wages in a calendar month;
- under 18 years-old, work more than 30 hours a week and are paid at least $450 in salary or wages before tax in a calendar month.
It doesn’t matter if they are part time, full time or casual.
Some contractors working and being paid primarily for labour may also be eligible to receive superannuation contributions.
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