The Commonwealth government recently passed the Crimes Amendment (Penalty Unit) Bill 2017. This means from 1 July 2017, employers who breach their obligations under the Fair Work Act 2009 will face increased maximum penalties.
The maximum civil penalties increases are as follows:
Maximum penalty for a Corporate Entity:
- Before 1 July 2017 – $54,000 per breach
- After 1 July 2017 – $63,000 per breach
Maximum penalty for an Individual:
- Before 1 July 2017 – $10,800 per breach
- After 1 July 2017 – $12,600 per breach
The above penalties apply to single breaches of civil penalty provisions under the Fair Work Act. Consequently, multiple breaches may result in multiple penalties being imposed.
Please note that these penalties will only affect breaches that occur on or after 1 July 2017. Any breaches occurring before this time will be subject to the penalty unit in place at the time the breach occurred.
Employment Law – More Information
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