The Fair Work Ombudsman recovered a record $532 million in unpaid wages and entitlements for more than 384,000 workers in 2021-22.
Meanwhile, it is estimated that Australians are collectively underpaid some $1.35 billion a year.
Sectors most at risk include construction, healthcare and social assistance, accommodation and food services and retail. Younger workers and migrants are most likely to be underpaid.
Fair Work Ombudsman Sandra Parker says the underpayment of employees over a number of years has become a persistent issue for businesses across many industries.
Incidents of wage theft are likely to increase from here given temporary migration has surged above pre-pandemic levels, driven by international students:
A September report by the Migrant Workers Centre, entitled “Lives in Limbo”, found 65% of workers on temporary visas suffered from wage theft. Most were also international students:
The growth of temporary migration programs since the 1990s has turned Australia into a guest worker state. Almost eight per cent of the population stay on temporary visas…
Australia’s migration policy encourages migrant workers to sign up for Australian education…
Interview participants unanimously stated that the Student visa was the most approachable visa… Half (50.0%) of the survey participants came to Australia on a Student visa…
64.8% of the survey participants on temporary visas experienced wage theft while working in Australia…
90.9% of migrant workers who experienced wage theft in Australia had first arrived on a temporary visa that had no pathway to permanent residency such as the Student visa or Working Holiday visa.
Thus, wage theft and exploitation across Australia’s will inevitably increase given international students are the main victims of said exploitation.
