Optus to pay more than $7.8m to underpaid staff, signs EU
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The news: Optus Retailco will pay more than $7.8 million to current and former staff who were underpaid between 2014 and 2020 and has signed an enforceable undertaking with the Fair Work Ombudsman. It said the telco lacked human resources investment and had poor governance.
The numbers: The company, which operates Optus retail stores across Australia, is a subsidiary of Singtel Optus, the second largest telecommunications provider in the country.
Optus Retailco will pay 3,744 staff between $11 and $34,000, with an average back-payment of $2,100. The $7.8 million total includes $5.4 million in wages and $2.4 million in superannuation and interest. The Ombudsman said Optus Retailco had already paid majority of staff.
The context: The telco giant self-reported its failure to pay appropriate wages in April 2021 following an internal review.
The Ombudsman confirmed Optus Retailco had signed an enforceable undertaking which will see the firm commit to implementing stringent measures to ensure all its workers are paid correctly. These measures include undertaking another review of employee entitlements covering January 2020 through to July 2023, and commissioning independent audits of its future compliance with workplace laws over the next two years.
What they said: Fair Work Ombudsman Anna Booth said: “Optus Retail’s lack of investment in human resources and poor governance led to long-term breaches and underpayments of its staff, and large rectification costs. Boards must treat the lawful payment of their employees as a core governance requirement".
The source: Fair Work Ombudsman media release
