Roy Morgan Group company fined more than $300,000 for sham contracting

By Rory Jolley and Gareth Jolly

Last month, the Federal Circuit Court of Australia imposed fines on a company within the Roy Morgan Group — Linkhill — totalling AUD313,500 (£172,080) for sham contracting and related contraventions of the Fair Work Act 2009, such as failure to pay wages, annual leave and severance pay.

The fines were imposed as part of a long-running prosecution by the Fair Work Building Industry Inspectorate relating to the engagement of 10 construction workers in renovating a Flinders Lane site in Melbourne.

A total of 139 potential contraventions were found. At the time of the contraventions, the Fair Work Act provided for a maximum penalty of AUD33,000 for each contravention (which has since risen to AUD51,000). Importantly, each contravention arising out of the same course of conduct is treated as a single contravention…

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