Employer faces legal action for underpaying worker in Parramatta

A mobile SIM card provider is facing legal action for underpayment of a worker in its Parramatta office.

Paid peanuts

Peanuts falling out of an envelope marked wage isolated on a white background Source: Getty Images/roberthyrons

Lycamobile Pty Ltd allegedly underpaid an employee between 2012 and 2015 at its NSW headquarters in Parramatta, reports HRD Australia.

Lycamobile was penalized four years ago for exploitation of migrant workers.

Acting Fair Work Ombudsman Kristen Hanna considers it a grave concern that the employer did not learn from past mistake.

HRD Australia quotes Ms. Hanna saying, “It is of grave concern whenever we uncover allegations that an employer has failed to learn from past mistakes.”

Previous case was of underpayments to staff in Adelaide and Brisbane. In the latest case, the employee approached Fair Work Ombudsman alleging that she rendered overtime work but not paid adequately. Allegedly, lycamobile underpaid $5,264.

Though the alleged underpayment has now been paid in full, the international SIM card provider faces penalties of up to $54,000 per contravention.

“While we understand oversights sometimes occur, we take a dim view of those who make repeated errors,” Hannah told HRD Australia.

The company maintains that alleged underpayments have been rectified. Lycamobile told SBS Hindi in a written statement, “Lycamobile can confirm that all alleged underpayments referred to in this case have now been rectified. We take this issue seriously and are currently reviewing our existing systems to ensure we are able to deliver a more efficient employee payments structure.”

The matter is listed for directions in Federal court in Sydney.


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By Vivek Asri

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