The Fair Work Ombudsman continues to conduct inspections across industries, with a strong focus on pay compliance, record-keeping and high-risk employment arrangements such as piecework. Inspectors commonly request access to employment records, payslips and pay structures to assess whether workers are receiving their correct entitlements. For employers, this reinforces the importance of having clear, compliant systems in place, not just relying on what has “always been done”.

What Inspectors Look For

During an inspection, employers may be required to provide:

• Payslips and wage records.
• Time and attendance records.
• Employment contracts.
• Pay structures and classifications.
• Piecework agreements (where applicable).

If these records are missing, inaccurate or inconsistent, it can raise compliance concerns, even before underpayments are identified.

Pay and Entitlements

Employees must be paid for all hours worked, including:

• Training.
• Meetings.
• Mandatory activities.

Under the Fair Work Act 2009, failing to meet minimum pay requirements can result in significant penalties.

Importantly, recent developments have reinforced that:

• Pay must meet Award requirements in each pay period.
• Not averaged across longer timeframes or seasons.

Learn more about these changes here.

This is particularly relevant where:

• Flat rates are used.
• Hours vary significantly.
• Seasonal workloads increase.

Pieceworkers and Minimum Pay

Piecework arrangements are a common focus during inspections.

Under the Horticulture Award, pieceworkers must still receive at least the equivalent of the minimum hourly rate for their classification.

This means:

• Earnings must meet minimum wage requirements.
• Casual employees must also receive the 25% loading.

Piece rates cannot be used to avoid minimum entitlements.

Piecework Record-Keeping

Record-keeping requirements for piecework are strict.

Employers must maintain:

• Accurate records of hours worked.
• Details of piece rates applied.
• Total earnings for each worker.

If records are incomplete or missing, penalties may apply, even if employees have been paid correctly.

Migrant Workers

Workers on visas are entitled to the same workplace protections as all employees.

Employers must ensure:

• Correct pay and conditions are applied.
• Visa work restrictions are understood and followed.

Non-compliance in this area can lead to both workplace and migration consequences.

Common Compliance Gaps

Across inspections, common issues include:

• Underpayment of wages.
• Incorrect or unclear pay structures.
• Reliance on outdated practices.
• Incomplete or missing records.
• Misunderstanding Award obligations.

These gaps are often unintentional, but still carry risk.

Getting It Right

Most compliance issues arise from uncertainty, not intent.

A practical review of your pay structures, records and agreements can help ensure your systems:

• Reflect current Award requirements.
• Align with how your business actually operates.
• Can be clearly demonstrated if reviewed.

The focus should be on systems that are accurate, consistent and actively used, not just documented.

How ProcessWorxAg Can Support You

If you’re unsure whether your current pay setup, piece rates or records meet requirements, it’s worth reviewing these areas before issues arise.

Our team can assist with:

• Award interpretation and pay reviews
• piecework and pay structure assessments
• record-keeping compliance
• identifying underpayment risks

If you need assistance determining correct pay rates for permanent or seasonal workers contact ProcessWorxAg on 08 9316 9896 or enquiries@processworx.com.au. 

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