Woolies pay case in court

THE Fair Work Ombudsman has begun legal action against Woolworths in the Federal Court, amid allegations the supermarket underpaid salaried managers more than $1.17m.

Woolworths Group Limited and Woolworths (South Australia) Pty Limited disclosed to the Ombudsman and the Australian Securities exchange in 2019 that it had underpaid thousands of employees in its supermarkets and metro stores.

But further investigations into the underpayments of managers suggest 70 employees were underpaid a total of $1,172,282 between March 2018 and March 2019. The FWO will further allege a total of $713,395 remains outstanding to these employees after backpayments were made.

Up to 19,000 salaried managers employed by the two Woolworths companies between June 2015 and September 2019 could be further impacted by the investigations.

A directions hearing in the Federal Court in Sydney is still to be scheduled.