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Victoria to pass nation’s first wage theft laws

Victoria is likely to pass Australia’s first wage theft laws as early as this week, with the Wage Theft Bill set to go through the Upper House.

The laws will involve fines of up to $991,320 for companies, $198,264 for individuals and up to 10 years in jail.

“Wage theft is everywhere and it’s harmful,” Victorian Trades Hall secretary Luke Hilakari told The Age.

“Some people will go to prison for this and they should. Businesses that are doing the right thing are having to compete against businesses doing the wrong thing.”

While unions are onboard with the new laws, industry groups have voiced concern.

Victorian Chamber of Commerce and Industry chief executive Paul Guerra said there needed to be a national approach.

“Unnecessary and confusing state-by-state approaches will damage the business environment and discourage employment,” he told The Age.

The bill also has the support of Crossbench state MPs Andy Meddick, Rod Barton, Fiona Patten, Stuart Grimley and Tania Maxwell.

“Opponents of this bill keep pointing to the ‘complexity’ of paying staff,” Patten told The Age. “But it’s not like we’re hearing all these cases of employers overpaying people, are we?”

But Shadow attorney-general Edward O’Donohue said “now is not the right time to pass this bill” with so much disruption caused by COVID-19.

“The Parliament should be focused on new ways to create jobs, to get our economy moving,” O’Donohue said.

“With the Morrison government currently negotiating with both unions and businesses about the best way to introduce criminal penalties for the deliberate underpayment of wages, Daniel Andrews’ so-called wage theft bill is nothing more than political posturing.”



 

Sheridan Randall, 16th June 2020