Bosses who deliberately underpay their staff could soon face jail time

Bosses who deliberately underpay their staff could soon face jail time as part of a series of hard line reforms designed to protect Australia's most vulnerable workers. The Migrant Workers' Taskforce has handed 22 reform recommendations to the federal government this week (( Thurs March 7)), all of which have now been accepted.

A standard pay packet Source: (AAP Photo/Julian Smith)

Criminal convictions, jail sentences, and million-dollar fines.  These are just a few of the 22 suggested labour exploitation reforms handed to the federal government by the Migrant Workers' Taskforce.  And each and every one of them has been accepted.  

International students and backpackers make up about 650 to 700 thousand workers in Australia, and Migrant Workers' Taskforce chair Allan Fels says a "very large" proportion of them are being seriously underpaid.

closeup of australian visa in passport Source: SBS

Professor Fels says underpayment is just the beginning, with many migrant workers being forced to work double shifts without extra pay, to make payments in return for visa sponsorship, and to live in unacceptable conditions while paying a very high price for the privilege. He says he hopes the recommendations will send a strong message to employers across the country - worker exploitation will not be accepted. 

Migrant worker Source: SBS/Migrant Worker Justice Initiative

That would mark a substantial increase in infringement penalties, with fines currently ranging from $3780 to $378,000 depending on the severity of the offence and the size of the business.   

The Migrant Workers Taskforce was established in October 2016 after media reports exposed the widespread and systematic exploitation of migrant workers around the country by chains including 7 Eleven convenience stores and Dominos pizza restaurants.

FWO secures penalties over exploitation of migrant workers Source: SBS

Now that the 22 recommendations have been accepted in principle by Jobs and Industrial Relations Minister Kelly O'Dwyer, the government says it will get to work on implementing the reforms.