Let’s Talk About Wage Theft — My Experience And Ways To Deal With/Avoid It

Although working in Australia should generally be a positive experience, it’s definitely not perfect. There are laws in place to protect workers from being taken advantage of but just like everywhere else, not everyone abide by these laws. Sadly, wage theft seems to have become a bit too common.

What Is Wage Theft?

Workers in Australia have entitlements under its workplace relations system. When these entitlements are not met, then wage theft is being practiced. It’s not just about being payed less than your award wages, it has many forms such as failure to pay for your superannuation, non-payment of penalty rates, deliberately misclassifying an employee; the list goes on and on. Basically, it’s an umbrella term for various kinds of non-payments or underpayments.

My Wage Theft Experience

I myself have experienced wage theft. I was first employed as an all-rounder/cook at a Filipino restaurant in our town. I knew that I might encounter pay issues from the very start because when I asked the owner how much my pay would be, she avoided the question. I still decided to move forward though as I wanted to at least gain an Australian work experience but I made sure to be really wary not to be taken advantage of. When I asked her again, she offered me an hourly wage that was way below the minimum. I had to tell her how much it should actually be according to Fair Work.

Unfortunately, that wasn’t the last time that I have been a victim of wage theft. When I worked at a Kebab shop, I have been underpaid and both my superannuation and penalty rates were not paid. Since I needed the income, I had continued working there until I found another job.

Other People’s Experience 

The most recent case that I have heard is that of the international students in Adelaide who were working for a restaurant called ‘Funtea’. A video of a young woman who was struck on the face and kicked to the ground while she was in dispute with her boss as she makes claims about wage theft has recently become viral.  According to a statement that they have made, these two casual employees in their early 20’s were only being paid $10 and $12 an hour when it should have legally been a minimum of $25.51. This had led to protests.

I have also read a case where a couple have traveled thousands of kilometers for a job in a rural roadhouse in QLD only to find out that the both of them will not be paid for their first week of work, a total of ninety hours, as some form of an unpaid trial. They didn’t take the job but a couple from overseas who had been working there had told them that the same thing was done to them as well as to many more before them. 

It’s not difficult to find cases of wage theft. You probably know someone or perhaps a friend of friend has experienced it. In fact, a friend of mine had recently told me that her daughter is being paid around fifty percent less than the legal minimum hourly rate at her current position at a fish and chips shop. I know a few more people who has had a similar experience. Sadly, it seems to have become quite widespread.

Consequences

Anxious and Helpless

What if I get fired? This is a common dilemma that one would have when they consider demanding for what they are entitled to. You’d fear speaking up because you would be risking loosing your job. Now if you are a temporary migrant worker, you would have an additional stress. You would worry about its ‘possible’ effect on your residency status, specially if the employer is your ‘anchor’ to the country. You’d feel helpless, you would most likely be on your own since your family are in another country, there’s no one else that you can depend on but yourself. 

Frustrated and Defeated

I felt frustrated and defeated because I worked hard. I’ve given them my time and energy and I wasn’t giving it for free. I could’ve used those on something else that would be beneficial to me but I gave it to them to get money in return. I wasn’t doing volunteer work, I was trying to make a living. I should be paid for something that I have earned.

Financial Insecurity/Lesser Quality of Life

People in this situation are most likely going to find it difficult to make ends meet. Not only will it affect them, but it will also affect their family members. It will be more challenging for them to provide their family with the everyday essentials (rent, groceries, utilities etc.). They would also have almost no chance to prepare for the future. If their superannuation are not being paid, it doesn’t only affect them in the present but also in their retirement age.

Red Flags

If you don’t get paid for a long trial shift.

Trial shift is a work trial done to demonstrate that you can do the job. It’s most common in the hospitality industry but I’ve seen this in other trades as well. It’s usually a good sign if you get paid for a trial shift. Unpaid trials are okay but it shouldn’t take more than an hour to one shift. If an employer can’t follow the laws surrounding a short trial shift, what does that say about your possible future employment?

What does the staff say?

Are they happy working there? Are they all mostly new? These are things that you need to observe or answer as soon as you can. I figured that the staff at the Filipino restaurant were underpaid and were not paid on time from the stories and tips that they have shared to me on my very first day there! When I was working at the Kebab shop, all of the workers have only been there for a couple of months. This may have been a sign that the work conditions aren’t right. How about the former employees? Did they like it there? You can look up reviews of a company from previous employees on job sites like Indeed or Seek. 

Although migrant and ‘gig industry’ workers are more vulnerable to this kind of treatment, anyone at any company may be at risk. It doesn’t even matter if you work for a big company like Woolworths, Qantas, 7eleven or McDonald’s, they have done it before. And just because your new boss is from the same country you were from, doesn’t mean that they have your best interest at heart. If the employer wants to earn as much as possible even at the expense of ‘stealing’ from their employees, they would. You really have to look out for yourself. Don’t just naively trust people, have courage. Know your rights and what you can do to protect them.

What To Do?

Fair Work Ombudsman

Almost everything that you need to know with regards to your work rights can be found in their website. There you will find information on employee entitlements, awards, pay, etc. You can also make a complaint against your workplace on their website or call 13 13 94.

Australian Taxation Office

If your employer doesn’t pay superannuation contributions on your behalf, then you need to contact the Australian Taxation Office. You can make a complaint by calling 13 10 20 or through their website.

Unions

You can also seek the help of your trade union. They can give you support, advice, and help recover your wages on your behalf. For more information on this, you can call Australian Union on 1300 486 466, or visit their website.

Community Legal Centre

If you’re needing legal advice about your work dilemma, you can go to your local community legal centre. They are not for profit organisations that provide legal and non-legal services to help communities throughout Australia. I have actually consulted with them when I first experienced wage theft and they helped me understand my situation better. You should be able to find one near you. 

Conclusion

Wage theft is a very real thing and migrant workers like us are particularly vulnerable. By keeping this in mind, you can make your experience working in Australia a more pleasant one. There are bad people everywhere and Australia is no exception. My advice is to get yourself out of that situation as soon as you can. There are a lot of other job opportunities out there for you.

How about you? Have you experienced wage theft before? Let us know in the comment section below. You can also share your story to us privately in the below contact form.

Disclaimer All content and information in this post is for purposes of sharing my experiences only, does not constitute professional advice and does not establish any kind of professional-client relationship.

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