Workers are collectively owed millions in unpaid overtime, according to Agni Deo Singh, the Minister for Employment and Industrial Relations. Singh highlighted this issue as a significant motivator behind the proposed Employment Relations (Amendment) Bill 2025, which aims to impose harsher penalties on employers guilty of wage theft and failing to fulfill their financial obligations to workers.
During a recent statement, Singh expressed concern about the alarming rates of wage theft, emphasizing the need for deterrent mechanisms like increased fines. He stated, “There is an increase in the penalties in terms of wage theft. We have millions of dollars owed to workers in overtime pay, holiday pay, and other benefits which they have deprived themselves of.”
The proposed legislation includes a specific section addressing wage theft, stipulating that employers who repeatedly fail to pay their workers adequately could face fines of up to $100,000. Companies found violating this provision may incur fines reaching $1 million. Additionally, if an employer consistently breaches the rules, company directors could be held personally liable and face potential prison sentences of up to five years.
The proposed changes come at a time when other measures to ensure fair wages have been implemented, including the recent announcement of a minimum wage increase to $4.50 per hour, which took effect on August 1. Singh had previously noted the government’s commitment to helping low-income earners deal with rising living costs and stressed that there would be no leniency for employers not adhering to these regulations.
The expanded enforcement effort also includes the hiring of more compliance officers to monitor employer practices, ensuring better compliance with wage standards across the labor market. This could enhance the overall workplace environment and provide workers with more security in their earnings.
Singh is hopeful that these proposed amendments and actions will eventually lead to a fairer and more just workplace for all workers, allowing them to support their families adequately after a hard day’s work.
Overall, the proposed changes are seen as a step forward in addressing wage theft and ensuring workers receive their rightful pay, which could significantly improve the lives of many workers across the nation.
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