Labour Hire Firm Fined Over Blueberry Worker Underpayment

A Federal Court has fined a Coffs Harbour labour hire firm and its sole director for failing to comply with Fair Work Ombudsman notices.

Updated on Nov. 11, 2026 in Organic Food

Labour Hire Firm Fined Over Blueberry Worker Underpayment

Live Poll

Do you trust local employers to pay workers the legal minimum?

The Federal Court has fined a Coffs Harbour labour hire firm $63,000 and its sole director $12,600 for failing to comply with two Fair Work Ombudsman compliance notices. The notices required back-pay of entitlements owed to two migrant workers supplied to pick blueberries on regional farms.

Why it matters

The case shows how the Fair Work Ombudsman can escalate to court action when employers do not rectify underpayments identified in compliance notices. It also highlights the vulnerability of temporary visa holders with limited English who are paid on piecework rates in horticulture.

The combined penalty totals $75,600, with $63,000 imposed on the company and $12,600 on its director, for failing to comply with two notices covering two workers. The source does not indicate whether the back-pay owed has since been paid.

The players

Fair Work Ombudsman

The Australian federal workplace regulator responsible for enforcing employment standards, including minimum pay under modern awards, and for issuing compliance notices to employers.

Federal Court of Australia

Australia's federal superior court, which hears civil and some criminal matters and imposed the penalties in this case.

The details

Workers were paid on a piecework basis according to the total weight of blueberries picked, and the company allegedly failed to pay the guaranteed minimum rate under the horticulture award. The Fair Work Ombudsman became aware of the underpayment after receiving complaints from two backpackers, and issued compliance notices before pursuing court action.

Timeline

  1. 2023 and 2024: The two complaining workers worked for the company at different intervals.

  2. July 2026: The Fair Work Ombudsman filed separate litigation in the Coffs Harbour region.

  3. 11 November 2026: The Federal Court fines were issued against the company and its director.

Industry Dynamics

The penalty applies the horticulture award's guaranteed minimum rate to piecework pickers, the same framework the Ombudsman used in its $180,000-plus horticulture penalties secured in Queensland in August. Together the cases show enforcement reaching labour hire intermediaries across the sector.

Consumers buying fresh blueberries are not directly affected by the penalty itself. Growers and labour hire operators using piecework arrangements face closer scrutiny of minimum pay obligations.

The takeaway

Businesses using labour hire for seasonal picking should verify that piecework rates still deliver the award minimum. Workers who suspect underpayment can raise concerns with the Fair Work Ombudsman.

Further reading

For more on the food supply behind these farms, see Organic Food.

Source note: This article includes information reported by Australian Broadcasting Corporation.

Live Poll

Do you trust local employers to pay workers the legal minimum?