Over 20 per cent of all audits from Wage Inspectorate Victoria surrounding compliance with the state’s Owner Drivers Compliance and Forestry Contractors Act 2005 found breaches.
The Victorian regulator audited over 650 engagements across 2023-24 and found 23 per cent of all audits to contain at least one breach.
The majority of audits were conducted on transport, postal and warehousing businesses, with the 2023-24 period seeing a 63 per cent increase in audits from the previous year.
The audits checked whether businesses engaging owner drivers and forestry contractors for a total of 30 days or more, or 30 days within a three-month period were providing them with:
- The prescribed information booklet
- The prescribed cost and rates schedule for their type of vehicle or equipment
- A written contract that includes minimum hours of work or income level, rates to be paid, and minimum notice to end the contract or payment in lieu.
Of the audits where breaches were identified 38 per cent found a breach of the information booklet provision, 38 per cent found a breach in the rates and cost schedule provision, and 25 per cent found a non-compliant contract.
Commissioner of Wage Inspectorate Victoria Robert Hortle says audits will continue through 2024-25 to help being the number of compliance breaches down across the industry.
“We’ve seen a slight improvement on last year’s compliance rate, but obviously 23% is still too high, so we’ll continue to work with industry to drive that rate down,” Hortle says.
“Giving contractors the prescribed information, enables them to accurately assess the proposed job and whether it’s worth their time and resources. It helps foster a healthy industry and it is a legal requirement.
“Wage Inspectorate officers will travel the length and breadth of the state again in 2024-25, inspecting Victorian workplaces and taking appropriate enforcement action.”
The maximum penalty for these offences is $4940 for body corporates and $988 for individuals.
The audits also checked whether the information booklet and cost and rates schedule were being provided to prospective contractors at least three business days before they were engaged.
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