Australia’s Fair Work Ombudsman is investigating whether BHP’s underpayment of almost 30,000 employees was due to neglect.
The major miner last week committed to fixing issues after a review found the employees had leave incorrectly deducted on public holidays since 2010. The issue is said to have affected 28,500 employees and the remediation cost estimated to be more than $430 million.
Australia’s Fair Work Ombudsman Sandra Parker is now investigating the matter.
As reported by the ABC, Parker is examining into the situation and is urging BHP to cooperate with the Fair Work Ombudsman office, saying it will be requesting further information and making sure all underpayments would be adequately repaid.
“It’s not good enough for any employer, let alone one of Australia’s largest and most sophisticated employers, to underpay their employees on such a large scale,” Parker said.
Parker said it was important for companies to stay up to date with audits, check their payroll systems and ensure they had the right technology to stay within the legal requirements.
In response to the underpayment issues, BHP president Australia Geraldine Slattery said the issues fall short of the standards held at the company.
“We are sorry to all current and former employees impacted by these errors,” Slattery said.
“We are working to rectify and remediate these issues, with interest, as quickly as possible.”
Parker acknowledged that the issue is being taken very seriously.
“On a positive note, it’s good that the companies are waking up, and it’s good that they’re auditing and it’s good that they’re making good,” Parker said.