The consequences for organisations failing to comply with their legal obligations under the Fair Work Act, awards or enterprise agreements can be significant and in some instances can involve individuals being personally prosecuted. With a very active Fair Work Ombudsman, PCS regularly assists organisations through conducting audits that will result in organisations understanding where they may be non-compliant and then working with you to remedy these areas.
PCS recently acted for an overseas corporation that was looking to acquire an Australian business. The overseas corporation was aware that there had been allegations made against the Australian business of non-compliance with obligations under the relevant award. As part of the due diligence process, PCS conducted a detailed “award compliance analysis” exercise whereby based on position descriptions and remuneration data PCS was able to advise the overseas corporation of whether relevant employees were being paid correctly under the award that should have applied to their employment. The calculation of potential underpayment was factored in to the commercial aspects of the transaction. After the transaction was completed, steps were taken to issue new employment contracts to all staff.