ATO sweeps South Australian vineyards in joint compliance exercise

ATO assistant commissioner Tony Goding warned the regulators had zero tolerance for employers that deliberately disregarded their obligations.

“Paying workers off the books, ignoring ATO obligations or using dodgy labour hire providers doesn’t just break the law, it erodes trust in the viticulture industry which employs thousands of people across Australia,” Goding said.

“When businesses cut corners, they’re cheating their workers, gaining an unfair advantage over honest competitors and undermining the integrity of their industry.”

In their joint investigation, officers from all three agencies spoke directly with vineyard workers, managers and labour-hire providers. They also requested records including labour hire contracts, invoices, payslips, timesheets and rosters.

The regulators sought to uncover unlawful practices, including wage and super underpayments, tax non-compliance, failures to provide payslips to workers, incorrect reporting of business income and expenses and breaches of obligations under the Migration Act.

“Vineyard owners can’t turn a blind eye when labour hire providers cut corners. If the cost of labour looks impossibly cheap, there’s usually a reason and it’s rarely legal. In the end, those shortcuts don’t just exploit workers; they leave the whole industry with sour grapes,” Goding warned.

Fair Work Ombudsman Anna Booth said the FWC was focused on the viticulture sector, which employs many vulnerable workers, and reiterated the regulator’s focus on protecting migrant workers.

‘We know there are a large number of vulnerable workers employed in grape-picking, packing, and pruning vineyards. Not paying workers their entitlements cannot be part of any grower’s business model,” she said.

“Migrant workers must remember that they have the same workplace rights under the Fair Work Act as other employees in Australia, and protections exist for their visa if they call out any breaches to us.”

ABF Commander John Taylor reiterated the authorities’ focus on protecting migrant workers who were central to South Australia’s regional economy.

“There’s no place for employers who exploit them – our communities expect better, and so do we,” he said.

“Exploiting vulnerable workers or misusing the visa system is unacceptable, and the consequences can be serious.”