$5.3 million recovered for underpaid aged care workers

Fair Work Investigating underpayments in aged care

First published on Tuesday, September 1, 2026

Last updated on Tuesday, September 1, 2026

5 min read

As the Fair Work Commission continues to investigate underpayments and other non-compliant practices, it has uncovered cases where employees have been underpaid by significant amounts. 

 

In this case from a Fair Work media release, investigations by the Fair Work commission uncovered approximately $5.3 million in underpaid wages that 3,600 aged care workers were entitled to. 

 

 

The Investigations 

The Fair Work Ombudsman investigated 22 aged care businesses, finding that 13 of them were considered non-compliant, with another being investigated. These providers were based across Australia and had underpaid their staff. Six of these providers had to back-pay staff more than $2.17 million with another seven providers forced to pay $3.13 million. The Fair Work Ombudsman issued 16 Compliance Notices to the providers, with staff members underpaid by an average of $1,478. 

 

 

The outcome 

While the providers cooperated with the Fair Work Ombudsman, the investigations uncovered a total of 3,591 workers that had been underpaid. The aged care service providers also had engaged in other non-compliant behaviours including breaches of payslip and record-keeping obligations. 

 

 The Fair Work Ombudsman sees the investigations as an opportunity to send a clear message to aged care providers on the importance of remaining compliant with Australian employment laws and the consequences for not doing so. 

 

If you’re an aged care provider and need guidance in your compliance obligations, we offer a 24-hour employment relations line as part of our HR software packages. Book a free demo with our team today for more information!


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