The Fair Work Ombudsman (FWO) and Australian Tax Office (ATO) will be given new powers to pursue company directors trying to skip out on paying their employees in the event of insolvency under laws that have passed the House of Representatives.
The reform, which is expected to pass through the Senate, aims to crack down on the misuse of the Fair Entitlement Guarantee scheme, which outlays the public purse for worker wages when businesses collapse.
Under the rules, new civil penalties will be introduced for workers to pursue their bosses, while the ATO, FWO and Department of Small Business and Jobs will be able to take action on behalf of staff.
The reforms also expand criminal sanctions to include those who may not have intended to pr…
Read the full article at: https://www.smartcompany.com.au/business-advice/legal/ato-fair-work-ombudsman-new-powers-pursue-directors/