Labour Hire Company Not Paying Me

LIthasbecome on 29/04/2023 - 17:18

Hi everyone,

I worked for a labour hire company as a labourer in Sydney along with a mate, both of us on ABN. I quit and went work somewhere else, but my mate is still there.

I sent an invoice for the days Ive been owed twice, the first time a week ago. Most of the messages were ignored, so I rang the HR person up and they said they'd look into it. Days passed and nothing, so I pressured them and the HR person told me via text I would get paid. That was yesterday, and I obviously haven't been paid yet. My mate and another guy have been paid, so something is clearly going on here. I finally sent them a message saying Id resort to Fair Work if I wasn't paid.

Is there something else I can do to get them to pay me?

This comes at a time I need the money, and it's unbelievable how this is unfolding.

Education & Work

Comments

  • AustriaBargain on 29/04/2023 - 17:36

    Did you submit the invoice to the same person/email address your mate did?

    • Ithasbecome on 29/04/2023 - 17:39

      Yes I did. I worked 2 weeks for them. The first invoice was paid right away while I worked with them. The 2nd one for the second week after I left was ignored until they asked me to send it again. I've been in contact with this person and they're aware I sent the invoice to their email and via text as well. Just hard to believe they'd be so stupid not to pay me when my mate is still getting paid and obviously can vouch for me that I did work there.

  • JIMB0 on 29/04/2023 - 17:38

    I'd normaly suggest you contact your union, but being a sole trader you'll probably need to engage a lawyer.

    • Ithasbecome on 29/04/2023 - 17:41
      +3

      Thanks. I'm thinking of showing up at the office sort this out as they're ignoring my messages. I could also try threatening them with naming and shaming.

  • bmxr on 29/04/2023 - 17:47
    +2

    What are the payment terms on your invoice? Or the labour company payment terms? Are they outside of either of those windows yet?

    • Ithasbecome on 29/04/2023 - 18:02
      -1

      Nothing specific, the invoice simply states my info and the amount due. I don't know about theirs as the first and only time I was paid they paid right away within minutes. As I said my mate's already been paid so something fishy is going on.

    • Ithasbecome on 30/04/2023 - 17:54

      Actually, looking at it the invoice does have a payment window and it is already overdue

  • peterpeterpumpkin on 29/04/2023 - 20:19
    +1

    Most labour hire companies I've worked for have been "dodgy" (e.g. not paying the correct overtime rates), but I'm surprised that a labour hire company engaging in what sounds like a typical "sham contracting arrangement" would take the risk of not paying at all. In my experience pre-COVID, those companies exclusively hired working holiday makers that were unlikely to follow up on disputes.

    By "labouring" I imagine you were paid for hours worked (as in, a typical "employee"). In that case I can also only imagine that they didn't pay your super contributions, which the ATO might be interested in.

    As much as I'd like to name, shame and bring down these companies, I normally just harass them with condescending politeness until I get what I want and it seems to do the trick eventually. To be honest, I don't know how effective the FWO is since they receive such a high volume of complaints and at least when I tried years ago, seem to focus on the "re-education" of employers rather than intimidation (which doesn't mean you shouldn't try).

    But it's Saturday so you can't really do anything until you check your bank account on Monday.

    • oO0Dam0Oo on 29/04/2023 - 20:35

      This ^… Sounds like sham contracting. Do you know if they are a licensed labour hire provider?

      Continue to name and shame them. They reduce the working conditions and business viability of those businesses doing the right thing.

      EDIT *** No requirement to be licensed in NSW

      • Ithasbecome on 29/04/2023 - 23:11
        -1

        Yes, they are. The company is legit

    • Ithasbecome on 29/04/2023 - 23:09

      That's exactly right. I'm on a working holiday, and some of these companies take advantage of temporary residents as many of them can't even speak English well, let alone go through the process to try to get their money back. Correct, I was paid for my hours worked, which amount to over $1000, which is not life changing money, but certainly not something I'll let slide. I'm aware and don't expect fair work to do much, but I have to do something. I have the Facebook profile of the HR head I've been in contact with too, so I'll resort anything to get my hard earned money. It is Saturday, but this person sent me a message yesterday Friday early morning saying I'd get paid that same day after I enquired about why I wasn't getting paid. She replied immediately. However, I've to see the money and my next messages have been ignored. I've sent a message to the company director today threatening to go to fair work as well.

      Interesting. I honestly didn't know they're required to pay super. Is that the case? I've rarely been asked for my super details out of the many companies I've worked for on an ABN.

      • JIMB0 on 30/04/2023 - 09:05
        +1

        You have to pay all outgoings when you're a sole trader. This includes super, workers compensation and public liability insurance. That's why the rate is so much higher.

      • peterpeterpumpkin on 30/04/2023 - 13:18
        +1

        Yeah I worked in parallel with a lot of these companies on labouring sites. Ironically, the underpaid sham contract backpackers often had the most experience.

        Just to clarify, almost nobody knows this fact about paying super for per-hour labourers on an ABN. This is just a stick by the ATO to get labour hire companies to just do things properly via PAYG tax at award wages (especially in a state like NSW, where we don't have a requirement to only use licenced labour hire companies). The ABN employee scam has often been used for mutual employer-employee tax evasion, but is often just used for employee exploitation (especially when unemployment is high).

        If you don't get the money by Tuesday, go all out. Especially since/if you know you won't be working for them again or anyone they're associated with.

        • Ithasbecome on 30/04/2023 - 13:45
          +1

          Thanks man. Quite insightful. It's shameful these things are rampant in a wealthy country like Australia.

          I agree. But I'm going to the office tomorrow after work demand the money personally. If I don't get it then, I'm making this public on every single social media I can find and naming the head of HR that's refusing to pay me. I have screenshots of our convos and have no reservations about it either. Just unbelievable they can be so damn stupid when my friend is still working with them. So is another guy we got along with great.

  • Ithasbecome on 03/05/2023 - 09:27
    +2

    Thanks for the help everyone. I pushed through and finally got my damn money. Left them a nice review online too

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