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Australia Imposes Fines on Tech Companies for Exploiting Foreign Tech Workers

by Sneha Singh
June 1, 2023
in Tech
Reading Time: 3 mins read
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Border Force, the Australian law enforcement agency responsible for immigration matters, has recently imposed fines on two companies for exploiting foreign tech workers who arrived under the Temporary Skill Shortage (TSS) scheme. This program was designed to address skills shortages in the country by allowing employers to sponsor foreign workers and ensure that they possess the in-demand skills. Additionally, the scheme mandates that these temporary visa holders receive equal pay as their Australian counterparts.

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After receiving tips and a Department of Home Affairs referral, the Border Force investigated two employers who heavily utilized the TSS scheme. Interviews were conducted with workers who held TSS visas as part of the investigation process. The allegations suggested that these employers were not fulfilling their obligations under the program.

During the investigation, Border Force uncovered multiple instances of non-compliance at one of the companies. Specifically, they identified eleven breaches of sponsorship obligations, with nine cases involving the underpayment of foreign workers.

The Australian government remains committed to safeguarding the rights of foreign workers and ensuring that they are not exploited under temporary visa schemes. Border Force’s actions demonstrate their dedication to enforcing compliance and addressing any instances of exploitation within the tech industry.

Consequences of TSS Scheme Noncompliance

By taking decisive action against companies that fail to uphold their obligations, the authorities aim to maintain the integrity of the TSS scheme and protect the interests of both local and foreign workers in Australia.

In another investigation conducted by authorities, a second employer was found to employ visa holders not working in their nominated professions. This extensive probe lasted for 15 months, and it became evident that 11 workers were not performing their sponsored jobs.

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Credits: Reddit

To address this noncompliance, the two companies involved were fined AUD$ 90,750 ($59,000) each. While this amount may not be considered a colossal salary for skilled tech professionals in Australia, the repercussions of this news will undoubtedly leave a lasting impact. The primary purpose of the Temporary Skill Shortage (TSS) program is to attract tech experts to the Australian shores, thereby addressing local skills shortages. However, stories of exploitation or unexpected experiences resulting from noncompliance may make recruiting talented individuals from overseas increasingly difficult.

Moreover, the challenges faced by tech professionals considering a move to Australia are not limited to employment issues. The country is currently experiencing rampant rent increases and a severe housing shortage, making it even more challenging for newcomers to secure suitable accommodation. Additionally, Australia’s reputation for being home to a wide array of deadly creatures can add to the concerns of those looking for an adventurous experience abroad.

Protecting Workers’ Rights and Maintaining Integrity of the Program

With these factors in mind, tech professionals who once considered Australia as an exciting option for their international endeavors now have a growing number of reasons to explore alternative destinations. Jessica Fensling said, “Everybody working in Australia has the right to be paid properly, including workers who are holders of sponsored visas. The ABF regularly undertakes targeted sponsor compliance activities to ensure businesses sponsoring visa holders are not underpaying workers or breaching their sponsorship obligations.”

According to Fensling, in cases of TSS program noncompliance, employers found guilty of cheating must repay any outstanding wages owed to their employees in addition to the fines imposed. Furthermore, they may face the cancellation of their sponsorship agreements and be prohibited from submitting any future applications.

This stringent approach serves as a deterrent and emphasizes the importance of adhering to the regulations of the TSS program. By ensuring that employers fulfill their obligations towards their sponsored workers, the Australian government aims to maintain the program’s integrity and protect the rights and well-being of foreign workers.

Tags: Australian LawTemporary Skill ShortageTSSWorker's Right
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Sneha Singh

Sneha is a skilled writer with a passion for uncovering the latest stories and breaking news. She has written for a variety of publications, covering topics ranging from politics and business to entertainment and sports.

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