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Australia Vic dental clinic fined over underpayments

03:45  25 october  2019
03:45  25 october  2019 Source:   msn.com

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The former operators of a Melbourne CBD dental clinic have been penalised after an international student working there was underpaid almost $70,000.© AAP Images The former operators of a Melbourne CBD dental clinic have been penalised after an international student working there was underpaid almost $70,000.

An international student underpaid almost $70,000 while working at a Melbourne dental clinic was forced to borrow money from her unemployed mother in South Korea to make ends meet.

Ari Masters and Christine Masters, former operators and part owners of No Brace Centre dental clinic in the Melbourne CBD, have been penalised a total $73,000 for underpaying the woman, following legal action by the Fair Work Ombudsman.

Mr Masters and Mrs Masters were penalised $55,000 and $18,000, respectively, by the Federal Circuit Court.

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They were also ordered to pay compensation to the worker to cover the underpayment amount, plus interest.

The employee in her late 20s, from South Korea, worked at the clinic as a lab technician and was on an international student visa and later a 457 skilled worker visa, when underpaid $66,945.

She was paid a flat rate of $15 an hour between April 2011 and February 2014, but should have been paid $16.90 to $18.93 for ordinary hours and up to $37.85 an hour for overtime under the Health Professionals and Support Services Award at the time.

The Fair Work Ombudsman discovered she was being underpaid when it investigated a request for assistance from the woman.

Workplace laws relating to record keeping, pay slips, unauthorised deductions and payment of annual leave entitlements were also breached and a notice to produce records was not complied with.

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Judge Anthony Kelly found the underpayment - equivalent an average weekly underpayment of $399 - significantly affected the worker, who had to borrow money from her unemployed mother in Korea to pay bills.

He said the conduct of the Masters was serious, calculated and egregious, lacked genuine remorse and "the deliberateness of their contraventions should be reflected in the penalties".

Judge Kelly said strong penalties were necessary to send the right message that failing to comply with workplace laws led to serious consequences.

It's the second time the Fair Work Ombudsman penalised Mr Masters after he was fined $5355 in August and ordered to backpay a former 457 visa holder $32,889 plus interest.

New tech could reveal underpayments .
A new hi-tech tax reporting system could bring widespread underpayments to light. Under the Single Touch Payroll reporting system introduced mid-last year, employers must electronically send information like wages and superannuation to the Australian Tax Office. Many companies have been prompted to overhaul their payroll system after errors in their processes were exposed.The reporting system did not factor into the revelations Woolworths had underpaid staff to the tune of $300 million.But it is believed to have played a part in other underpayment cases including Qantas, Bunnings, and the ABC.

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