Google AI


Modern Australian

Almost half of young workers expected to work unpaid overtime, while a quarter aren’t paid compulsory super

  • Written by: John Howe, Associate Dean (Research), Melbourne Law School, The University of Melbourne
Almost half of young workers expected to work unpaid overtime, while a quarter aren’t paid compulsory super

A young person gets a job, excited to earn their first paycheck. Over time, they realise the hours are long and the payslips small. They are told to stay back to clean up after closing, but never receive overtime. They feel exploited, but what can they do?

It’s hard to find a job that fits with study commitments, and a reference could go a long way in the future. Besides, it happens to all their co-workers; they’d hate to cause a fuss.

It’s a story as old as time, and it’s still happening today. Our new study has found wage exploitation is rife among employers who hire young people.

In partnership with the Paul Ramsay Foundation, Melbourne Law School’s Fair Day’s Work project surveyed 2,814 workers under 30.

Young workers in low-paid jobs were asked about their experiences in the workplace, the challenges they encountered, and how they dealt with exploitation.

How some bosses are treating young workers

We found young Australians are frequently underpaid and that exploitation is multifaceted:

  • 33% were paid $15 per hour or less

  • 43% had been told to complete extra work without additional pay

  • 34% were not paid for work during a trial period

  • 24% had not received compulsory super

  • 35% had their timesheet hours reduced by their employer

  • 17.9% had not been paid for all the work they completed

  • 9% received an hourly rate of $10 or less

  • 8% had been forced to return some, or all, of their pay to their employer.

Further, 60% had had to pay for work-related items, such as uniforms, protective equipment, training or car fuel. Some 36% had been forbidden to take entitled breaks while 35% had their recorded timesheet hours reduced by their employer. Meanwhile 20% were “sometimes” paid “off the books”, and 12% were “always” paid off the books. And 9.5% had been given food or products instead of being paid in money.

The most at risk

We found exploitation is most often experienced by the most vulnerable young people. These include transgender, non-permanent workers (casual employees and private contractors), residents on temporary visas) and non-native English speakers.

The worst-performing industries included electricity, gas, water and waste services; manufacturing; mining; transport, postal and warehousing; public administration and safety; information media and telecommunications; accommodation and food services; retail trade, and education and training.

Workers in small businesses (up to 19 staff) were often not paid overtime or penalty rates, and were being paid “off the books”.

Medium-sized business workers (20–199 employees) were the most likely to be required to pay for work-related items, such as equipment, training and car hire.

And those from large businesses (200-plus) reported the highest rates of variance of weekly hours and requirements to pay for work uniform.

Young people often don’t have much industrial knowledge or experience, so it is easy for employers to take advantage of them. They are also unlikely to challenge an employer, as many of them are in insecure work.

What steps are being taken?

Laws which took effect January 1 this year mean employers may face criminal penalties – including fines, imprisonment or both – if they intentionally underpay an employee in breach of the Fair Work Act 2009.

But identifying underpayments and other forms of exploitation are the biggest barrier to compliance with workplace laws.

Surveyed workers who were underpaid said they were most likely to seek the help of a family member. Only 12.9% of those aged 15 to 19 said they would be willing to complain to the Fair Work Ombudsman.

However, workers who had dealt with the ombudsman mostly saw their experiences as positive: 41% found the regulator to be “very helpful”, while only 16.7% described it as “not helpful at all” or “not very helpful”.

The results suggest the Fair Work Ombudsman needs to be doing more to engage teenage workers.

What’s needed

The Fair Day’s Work project set out to use data science and technology to identify risk of underpayment in relation to young workers, and improve employer compliance with workplace laws.

Our aim was to develop a database on young workers employment conditions, along with a web portal to give young people and employers the information they need.

We hypothesised that a prediction tool could be used to assess which young workers are at greatest risk. However, we found publicly available data was insufficient to do this, so we conducted our own survey of young workers and made this data available through a public web portal to help workers and employers.

We came up six recommendations to help stop young workers being exploited:

  1. regulators need to get tougher with the nine industries we identified as the poorest performers to make them more compliant

  2. the Fair Work Ombudsman should scrutinise the industries where payment was made in food or products and workers were required to return money to employers occurred most frequently

  3. educate mid-sized businesses on the extent to which they can lawfully require workers to pay for work-related items

  4. lawmakers and the Fair Work Commission should consider introducing truly equitable “loaded rates” for junior employees. This would deal with non-payment of penalty rates and other entitlements by some employers

  5. more money to make young workers aware they can get help from the Fair Work Ombudsman, trade unions, community legal centres, the Young Workers’ Centre and similar bodies

  6. more work to develop and use data science and digital tools to help employers fulfil their legal obligations, and to protect young workers’ rights.

Our survey results highlight the extent to which young people continue to be exploited in the workplace and suggest more work needs to be done to bring about change.

Authors: John Howe, Associate Dean (Research), Melbourne Law School, The University of Melbourne

Read more https://theconversation.com/almost-half-of-young-workers-expected-to-work-unpaid-overtime-while-a-quarter-arent-paid-compulsory-super-261016

Pool and Deck Design: How to Plan the Perfect Outdoor Living Space for Your Sydney Home

For many Australians, the backyard is where life happens. Summer barbecues, weekend swims and long evenings outdoors are all part of the lifestyle, ...

Is Solar Pool Heating Worth It? What Sydney Homeowners Should Know

There's nothing quite like a backyard pool on a hot Sydney day. But once autumn rolls in, many pools sit unused for months because the water is simp...

Planning a Luxury House Move: A Week-by-Week Timeline for Prestige Sydney Homes

Selling or buying a prestige home is a major milestone. Whether it's a waterfront residence in Birchgrove, a grand Federation home in Haberfield or ...

Downsizing or Upgrading Your Caravan? Here's How to Sell It Without the Hassle

Selling a caravan can feel like a major task, especially when you are unsure about its value, paperwork, or how to find a buyer. Whether you are dow...

The Best Overseas Adventure Holidays for Australians Who Love the Outdoors

Australia offers no shortage of incredible outdoor experiences, but sometimes the best way to satisfy your sense of adventure is to head overseas. A...

Cape Town Wine Shuttle: Winelands Tasting & Tours

Embark on an unforgettable journey through the picturesque Cape Winelands, where world-class wines and breathtaking scenery await. Our Cape Town Win...

Why Giant Rats Tail Grass Keeps Coming Back After Spraying

Giant Rats Tail Grass (GRT) is one of the most frustrating pasture weeds for farmers and lifestyle property owners. You spray an infested area, see th...

When Custom Cardboard Boxes Make Sense for Your Business

Custom cardboard boxes can be useful when a standard carton does not fit a product, packing method or presentation requirement particularly well. A ...

Virtual Livestock Fencing and GPS Tracking: Improving Visibility Across Cattle Properties

What Virtual Livestock Fencing Means for Modern Cattle Management Managing cattle across extensive properties requires more than knowing where anim...

Sydney Pawnbrokers Explained: How Hocking Your Car Actually Works

Sometimes you need cash, and you need it soon. If you own a car, you may already have a way to get it. That's what people mean when they say they've...

Moving Interstate from the Gold Coast to Brisbane (or Back)? What Removalists Wish You Knew First

Have you talked to anyone who’s done the move? They say the same thing: the drive up the M1 is the easy part. It's everything around it that catches...

Why the Spring School Holidays Are a Great Time to Visit Coffs Harbour

The spring school holidays are a good time to spend a few days on the Coffs Coast. The weather is starting to warm up, there is plenty to do outdoor...

What to Do When an Older Car Is No Longer Worth Keeping in Melbourne

Ever looked at another repair quote and wondered whether your old car is still worth the trouble? It is a common turning point for Melbourne motoris...

Your Baby's First Year: A Local Guide to Feeding, Sleep, and When to Get Extra Support

Ask ten parents in a Brisbane mothers' group how their baby is feeding or sleeping, and expect ten different answers.  Someone's baby sleeps throug...

Kitchen and Laundry Makeover Ideas That Don't Require a Full Renovation

Full kitchen renos are expensive — and most people don't actually need one.  They need the kitchen to stop looking like it's stuck in 2009, or they...

How Technology Is Reshaping the Modern Australian Commercial Kitchen

The commercial kitchen has always been shaped by technology. Refrigeration changed how ingredients could be stored, modern ventilation transformed k...

The Number on a Roller Blind Fabric That Nobody Explains

Somewhere in the fabric book, next to the colour name, there is a percentage. Three per cent. Five per cent. Ten per cent. Nobody explains it, most c...

What’s Trending in Men’s Jewellery This Father’s Day!

Finding a Father’s Day gift that feels personal, stylish and genuinely wearable is not always easy. While socks and novelty mugs have traditionally ...