Queensland University of Technology has entered into an Enforceable Undertaking with the Fair Work Ombudsman after underpaying hundreds of staff across its Brisbane campuses, completing more than $1.9 million in repayments including interest and superannuation.
The university has already returned payments to 433 affected employees and has committed to a Comprehensive External Review that is expected to identify further underpayments. QUT will also make a $250,000 contrition payment and introduce a series of reforms aimed at strengthening compliance with workplace laws.
The underpayments were identified across professional services roles at the university’s Gardens Point and Kelvin Grove campuses, involving staff across all five faculties. Most of those affected were full-time or part-time administrative, research and IT event staff. Of the 433 workers, 366 were ongoing or part-time employees, with the remainder engaged as casuals.
The Fair Work Ombudsman found that the university failed to meet obligations under multiple enterprise agreements, including payment of overtime, time off in lieu, minimum hourly rates, meal allowances, casual loading and minimum engagement periods for casual professional staff. Payroll system errors and poor governance oversight were cited as key drivers of the systemic underpayments.
QUT became aware of payroll issues in 2019 and voluntarily disclosed its findings to the FWO in 2021. The $1.9 million repaid to date includes more than $1.748 million in wages and entitlements, over $143,000 in interest, and more than $24,000 in superannuation and related interest. Individual back-payments ranged from under $10 to over $78,000.
Under the Enforceable Undertaking, an external auditor will conduct the Comprehensive External Review covering entitlements owed to casual, fixed-term and ongoing professional staff, as well as sessional academics and QUT College educators, from the commencement of the 2018 Enterprise Agreements through to the EU’s start date.
Fair Work Ombudsman Anna Booth said the undertaking was appropriate given QUT’s cooperation and commitment to rectifying all outstanding entitlements. She said the matter highlighted the risks created when employers fail to maintain proper oversight of payroll and compliance systems, noting that universities are expected to meet obligations under their own enterprise agreements and relevant awards.
The commitments under the undertaking include implementing a new timesheet system, routine proactive payment checks, embedding compliance reporting into university governance structures, notifying current and former employees of the EU, establishing a complaints and review mechanism and dedicated hotline, and providing the FWO with evidence of all repayments and six-monthly progress reports.
QUT’s contrition payment will be made to the Cleaning Accountability Framework, a not-for-profit organisation focused on improving labour standards for cleaners.
The case forms part of the FWO’s broader sector-wide enforcement efforts. Since naming university underpayments as a priority in 2022, the regulator has entered into enforceable undertakings with eight other universities, secured court penalties against the University of Melbourne, and commenced legal action against the University of NSW.
