The Fair Work Ombudsman officials visited Griffith citrus farms this week. Photo: Supplied.
More than 15 Griffith farms have been visited by tax, workplace and immigration authorities in a crackdown on labour hire practices, after previous investigations found 83 per cent of labour hire employers investigated in the Riverina had breached workplace laws.
The Australian Taxation Office (ATO), Fair Work Ombudsman (FWO) and Australian Border Force (ABF) joined forces this week to investigate labour hire providers and protect workers, particularly in the horticulture sector.
The majority of farms visited grow citrus fruit.
Fair Work Ombudsman Anna Booth said her officers were back in the Riverina after previous raids found non-compliance in the region’s horticulture sector “to be rife”.
“The FWO is back in the Riverina at Griffith, this time with fellow regulators, and we want to see improvement but will be holding to account any labour hire businesses or growers doing the wrong thing,” Ms Booth said.
“Horticulture is a priority sector for the FWO, as many employees within this sector are visa holders and young people, who can be vulnerable to exploitation. They often fear losing their job or their visa – but we would like to remind them they have the same workplace rights under the Fair Work Act as other employees in Australia.”
The operation, conducted under the Shadow Economy Taskforce, is targeting potential unlawful practices including underpaying wages, penalty rates and superannuation, failing to meet tax obligations, providing inaccurate pay slips and failing to withhold PAYG tax.
Authorities are also investigating potential migrant worker exploitation and breaches of Australia’s migration laws.
The three regulators said they had “zero tolerance” for employers deliberately avoiding their obligations.
The farms were selected using risk profiling, data analytics and intelligence shared between taskforce partners, including community tip-offs.
The investigations are ongoing and no details of breaches in this week’s raids have been released as yet.
The FWO previously identified the Riverina as one of the top five regions nationally for workplace law non-compliance during its Horticulture Strategy 2021-2024, which investigated 15 regional hotspots.
Border Force officials were part of the raids. Photo: Supplied.
ATO Assistant Commissioner Tony Goding said Operation Flint was “lighting a fire” under unlawful practices in Griffith’s agricultural sector.
“Griffith is one of Australia’s most productive growing regions and there’s no room for operators cutting corners or exploiting honest growers.
“Outsourcing labour doesn’t mean outsourcing responsibility. Farmers need to know exactly who they’re dealing with and how their workforce is being paid and treated. If the cost of labour is unusually cheap, there’s usually a reason behind it.”
ABF Commander Tim Thorley said migrant worker exploitation gave businesses doing the wrong thing an unfair advantage.
“Operations like this help ensure a level playing field for employers across Griffith and the broader Riverina region,” he said.
“Our officers are focused on identifying and disrupting unlawful labour hire arrangements, visa breaches and migrant worker exploitation.”
The ATO said 44 individuals and entities were prosecuted in NSW for shadow economy-related offences last financial year.
The Shadow Economy Taskforce said its work was aimed at protecting workers, uncovering hidden income and recovering revenue needed for essential services.
Workers and members of the public can report suspected tax evasion, worker exploitation or other shadow economy behaviour anonymously online.
