In a recent case where an existing business was taken over, the new employer assumed the rates of pay were accurate and as a result didn’t take any steps to investigate what their employees should be getting paid on a ongoing basis.
As a result the new business had to back-pay a former employee almost $20,000 in outstanding wages. This is because the moment the business changed hands the new owners became responsible for ensuring the correct workplace entitlements for their employees.
Without a system in place to monitor any increases in rates of pay or entitlements, the new operators were not aware of the increases had occurred and as such did not increase the employee’s hourly rate.
It is not a defence to say I didn’t know. It is the responsibility of you as an Employer to take the initiate to find out the correct entitlements for your employees.
Enlisting the services of a company like HR Central ensures you will always be meeting the compliance requirements for your employees, and they will be receiving all their eligible entitlements.