A major workers’ rights clampdown has seen more than a dozen vineyards in some of Australia’s key wine regions swooped on by authorities.
Authorities looking to crack down on “unlawful practices” within the wine industry have carried out surprise visits to 18 vineyards in South Australia.
While not publicly named, the vineyards were based across three of the most prolific wine districts in the country – in Barossa Valley, Adelaide Hills and McLaren Vale.
It was part of a multi-agency sting called Operation Zephyr, which is run by the Australian Taxation Office, Fair Work Ombudsman and Australian Border Force.
The aim of the operation is to root out unfair working practices in the industry, such as employers underpaying wages, not complying with tax, super and registry obligations and failing to provide workers with pay slips.
It also aims to stamp out when staff, particularly migrant workers, are being paid cash-in-hand or off the books.
Tony Goding, an assistant commissioner for the ATO, said: “Paying workers off the books, ignoring ATO obligations and using dodgy labour hire providers doesn’t just break the law, it erodes trust in the viticulture industry which employs thousands of people across Australia.
“Vineyard owners can’t turn a blind eye when labour hire providers cut corners. If the cost of labour looks impossibly cheap, there is usually a reason and it is rarely legal.
“In the end, those shortcuts don’t just exploit workers, they leave the whole industry with sour grapes”.
Investigators said the probe is focused on rooting out the following practices:
• underpaying wages, penalty rates and other entitlements including super
• noncompliance with tax, super and registry obligations
• failing to withhold and remit Pay as You Go Withholding (PAYGW) tax
• failing to provide pay slips to workers
• non-lodgement of activity statements and income tax returns
• incorrect reporting of business income and expenses
• breaches of obligations under the Migration Act including migrant worker exploitation and unlawful provision of immigration assistance.
Anna Booth, of the FWO, added: “The wine regions of South Australia are renowned for their impressive produce, but we are checking whether the pay and conditions of employees on the ground are meeting the same high standards.
“We know there are a large number of vulnerable workers employed in grape-picking, packing and pruning vineyards. Not paying workers their entitlements cannot be part of any grower’s business model.”
ABF commander John Taylor added: “The message to employers is simple: do the right thing and meet your obligations.
“Exploiting vulnerable workers or misusing the visa system is unacceptable and the consequences can be serious.
“Operations like this send a clear message- Australia is not a safe haven for worker exploitation or visa abuse.”
