More than 1,300 staff employed by disability service provider Yooralla have received a combined $2.05 million in back pay due to a long-running clerical error, the Fair Work Ombudsman confirmed.

The not-for-profit organisation, operating across Melbourne and regional Victoria, rectified underpayments to 1,389 current and former employees. The amounts owed ranged from less than $1 to over $22,000, with an average back-payment of about $1,470. Most affected workers were casual disability support workers based in Melbourne, with the underpayment period spanning from March 2018 to March 2024.

Yooralla entered into an enforceable undertaking with the Fair Work Ombudsman after conducting a comprehensive review, which included engaging an external consultant. This review led to the organisation self-reporting its non-compliance in 2024.

Fair Work Ombudsman Anna Booth said Yooralla fully cooperated with the investigation and welcomed their commitment to rectifying the pay discrepancy. She emphasized the case as a warning about the significant long-term problems that can arise when employers do not prioritise compliance with minimum pay laws.

Health and Community Services state secretary Paul Healey credited Yooralla for self-reporting the pay discrepancy and noted the cooperative approach taken with unions and employees, which is rare in such cases.

The Fair Work Ombudsman also highlighted that improving compliance in the disability support services sector remains a priority.

Sources