Tasmanian aged care workers who were among those underpaid more than $2.1 million over a two-year period due to a “payroll error” have now been fully paid back – including interest and superannuation.
The Fair Work Ombudsman said both current and former staff working for the aged care services provider Japara Administration Pty Ltd, now Calvary Administration Pty Ltd, had received incorrect payments due to an error related to a “Sunday penalty rate”.
“[The rate] that should have been applied under a new agreement was not applied to any relevant worker between April 2018 and May 2020,” the FWO said.
Japara Administration, which was previously part of the ASX-listed company Japara Healthcare Limited, one of Australia’s largest aged care providers, self-reported the payment problem to the regulator in July 2020.
Calvary Administration Pty Ltd purchased Japara Administration Pty Ltd in 2021.
Other underpaid employees also worked for Japara Administration, both on a full-time, part-time or casual basis, in aged care facilities across Victoria, New South Wales and South Australia.
“This matter shows how important it is for employers to place a high priority on their obligations, to ensure that their systems provide for full compliance with all entitlements,” Fair Work Ombudsman Anna Booth said.
“Shortcomings in the company’s payroll system and broader compliance led to breaches of their own enterprise agreements that left hard-working employees shortchanged.”
Many of underpaid employees were part-time aged care workers, leisure and lifestyle assistants, coordinators, diversional therapists, cleaners, laundry staff, kitchen workers, cooks and maintenance personnel.
