Payroll Audit And Wage Remuneration

Trust the IRIQ Law payroll audit and wage remuneration specialists

What Is A Payroll Audit?

Has your organisation ever had a payroll audit? IRIQ industrial relations lawyers specialise in payroll auditing and other Industrial relations matters for both small and large organisations. A payroll audit consists of conducting an audit of the business-relevant modern award or enterprise agreement Interpertating this and advising you on any other relevant legislation. During the Audit IRIQ Law considers the factors of pay rates, hours worked, the consistency of the hours worked and whether this is within the scope of an employee’s qualifications and job duties. By our employment lawyers conducting an independent wage audit, there is another set of professional eyes looking over your payroll information and business accounts. This can help to ensure the information is accurate up to date and complies with the “Fair work act 2009 (Cth.)” By being proactive and conducting external payroll audits before an event is critical. This will ensure your organisation is not at risk of the financial burden of wage remuneration and the reputational risk associated with underpaying employees. These risks can originate from an inquiry or class action.

Minimising The Risk: A Wage Audit 

From our 30 years of experience, IRIQ Law has found that many underpayment disputes result from employers incorrectly interpreting the relevant awards. This results in applying the wrong award and puts the organisation at risk of financial burdens relating to wage remuneration and criminal offences known as wage theft. In April 2011, the Magistrates’ Court of Victoria awarded penalties of $120 000 against Bosen Pty Ltd and $20 000 and $10 000 respectively against the directors of a 7- Eleven Franchise. 

To help minimise the risk, our industrial relations lawyers can conduct a wage audit to understand the applicable minimum pay rates and employment conditions relative to your organisation. Our employment lawyers can then help you understand the: 

“If employees are award-covered, employers must comply with the terms of the award failing to do so will result in committing an offence under the Fair Work Act 2009 (Cth.)”  

 IRIQ Notices Fair Work Reforms 

Recently Fair work has completed several reforms that affect employee wages and remuneration. This has been a significant issue within Australia and it is important to get it right. 

Recently, (March 2021); Fair work, advised of the need for organisations to offer casual staff permanent positions if they have met the conditions of a permanent employee. 

These being:

 You can read more at the Fair work site or by downloading the fact sheet. 

As a business, it is important to follow the laws and act ethically. If not, It is proven that your customers, staff or the law will eventually catch up with the organisation and respond negatively. Employees can bound together and submit group-based claims for issues such as underpayment, employer conduct in obtaining workplace agreements, and other orders concerning industrial conduct. Recently, in the case of 7- Eleven the organisation suffered from large financial, reputational and criminal risk which resulted in the owners paying 173 million to employees in unpaid wages. 

Fair Work 7-Eleven Inquiry

“Fair Work Inspectors attended these stores on a Saturday evening to test store compliance with weekend and night shift penalty rates. During the site visits, Fair Work Inspectors interviewed staff, took photographs of rosters, timesheets and posters, and collected records. Inspectors also served statutory Notices to Produce records or documents (Notices to Produce) on stores requiring them to produce time and pay records and closed-circuit television (CCTV) footage. In addition, Fair Work Inspectors used a specifically designed employee survey. This survey sought to test information from employees regarding their pattern of work rates of payslip information detailed information about the shift they were working that day, to be checked later for inconsistencies against records obtained under the Notice to Produce. Significant underpayments were identified by inspectors in seven of the 20 stores visited. Of these seven, four were found: to be paying rates significantly below the base rate not to be paying penalty rates for a shift, weekend and public holiday work to be creating false records that disguised underpayments. Legal proceedings have been commenced against three stores and an Enforceable Undertaking entered into with the fourth.”  

You can read more about this inquiry by clicking here. 

IRIQ Wage Remuneration Specialists 

At IRIQ our Hr lawyers have the relevant experience in payroll auditing and are certified, workplace investigators. Our Lawyers operate following the Australian Qualifications Framework. IRIQ Law holds a Master Security License under the NSW Security Industries Act and our investigation reports are regarded as being thorough, clear and practical. Our competitive advantage to help us achieve a great outcome for your organisation at any level is IRPAY. This software is a proprietary system that assists us to audit 6 years of your payroll data to ensure you are paying your staff correctly. As a part of your audit, IRIQ Law can help with: 

Find Out More Or Contact A HR Lawyer

At IRIQ Law Our HR lawyers provide payroll audits and wage remuneration advice at a high level for big organisations with certified results. We have the relevant experience to help your organisation avoid the financial risk, criminal risk and reputational risk associated with wage theft and unfair working conditions. Contact IRIQ Law in either Sydney, Brisbane, Perth or Melbourne to get your payroll audit, cost estimate or for more information.