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Woolworths (ASX:WOW) share price slides amid legal stoush on underpayments
The regulator alleges the supermarket giant has not fully repaid up to 19,000 underpaid employees.
Marc is a Master of Journalism and Communications student at UNSW and journalist at The Motley Fool. He has a passion for journalism and news with a keen interest in business, the media, politics, foreign affairs, and how they intersect in everyday life.
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June 18, 1:13pm AEST
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Woolworths Group Ltd (ASX: WOW) shares have fallen into the red today as the Fair Work Ombudsman (FWO) takes the retailing giant to court.
The alleged underpayments range from $289 to $85,905 for the 70 managers over the one-year period.
The ombudsman alleges the most significant underpayments were Woolworths’ failure to pay the correct overtime entitlements to the salaried managers.
It will also try to prove annual salaries did not cover weekend and public holiday rates, meal allowances and annual leave loading, given the hours employees worked.
The ombudsman, Sandra Parker, said it would be alleged salaried managers were significantly underpaid.
“This court action highlights that large employers face serious consequences if they do not prioritise workplace law compliance among other aspects of their business,” she said.
Retail groups react to Fair Work Commission s 2.5% wage increase
By Imogen Bailey | 17 June 2021
Retail groups have expressed their concern over the Fair Work Commission s (FWC) decision to increase the minimum wage.
The FWC handed down its decision yesterday, announcing that the national minimum wage (NMW) would increase by 2.5% from July 01 2021.
However, retailers covered by the
General Retail Industry Award 2020 have been granted a delayed commencement date to September 01 2021.
Australian Retailers Association CEO Paul Zahra said that while a delayed start date is welcomed, the increase still puts pressure on retailers recovering from the pandemic. Whilst we appreciate the FWC delaying the increase for retailers, which is in line with the ARA’s advocacy, the timing of the increase remains a significant concern coming only months after the previous increase and just ahead of the critical Christmas trading period which is the most expansive employment period for
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