Australia Recovers $453 Million in Unpaid Wages as Anonymous Workplace Complaints Hit Record High

By Umesh Dhakal – KNA Canberra

More than 181,000 workers received back-payments in 2025–26, while anonymous reports to the Fair Work Ombudsman rose by 23 per cent.

Australia’s workplace regulator recovered $453 million in unpaid wages and entitlements for more than 181,000 workers in the 2025–26 financial year, as anonymous reports of potential workplace breaches reached a record 31,596. The figures were outlined in the Fair Work Ombudsman’s (FWO) 2025–26 annual report, which highlights the scale of wage underpayments and the regulator’s enforcement efforts across Australian industries.

The total amount recovered increased by approximately $95 million compared with the previous financial year. Across the past six financial years, the regulator has helped recover nearly $2.5 billion for Australian workers.

Anonymous reports help identify workplace breaches

Anonymous reports increased by 23 per cent from 25,608 in 2024–25 to 31,596 in 2025–26, providing the regulator with information about potential workplace law violations. Fair Work Ombudsman Anna Booth said these reports helped identify emerging problems, recognise patterns of non-compliance and direct enforcement and education efforts where they were most needed. The regulator encourages workers and other members of the public to report suspected breaches, including concerns about unpaid wages, payslips and employment records.

Large businesses account for significant recoveries

Large corporations accounted for $217.3 million of the total back-payments during the financial year, benefiting more than 110,000 workers.

The regulator also entered into 15 Enforceable Undertakings with employers. These agreements require businesses to address compliance failures and improve workplace practices, alongside repaying affected workers. Employers operating under these agreements returned $106.6 million in wages and entitlements, including superannuation and interest. Booth said employers of all sizes were expected to prioritise compliance with workplace laws. She added that the regulator provided free information and resources to support businesses while holding employers accountable for failing to meet their obligations.

Hospitality and construction remain priority sectors

In fast food, restaurants and cafés, the regulator recovered more than $5.6 million for 3,538 workers during 2025–26 and commenced 16 legal proceedings. In building and construction, recoveries exceeded $6.8 million for 932 workers. The regulator completed nearly 3,000 matters and commenced 14 legal proceedings in the sector.

Back-payments to construction workers exceeded $23.2 million between November 2022 and 30 June 2026. The aged-care sector also recorded significant recoveries. Two Enforceable Undertakings involving Southern Cross Care organisations in New South Wales and the Australian Capital Territory, and Western Australia, resulted in more than $16 million being recovered following underpayments spanning several years.

Legal action and penalties target non-compliance

Across various industries, the Fair Work Ombudsman commenced 60 legal proceedings and secured $2.3 million in penalties during 2025–26.

Among the cases, the University of New South Wales was penalised $213,120 over systemic record-keeping and payslip contraventions that hindered the regulator’s investigation into underpayments. The university subsequently entered into an Enforceable Undertaking. In a separate matter, the Construction, Forestry and Maritime Employees Union (CFMEU) and four Victorian officials faced penalties totalling $171,500.

The regulator also issued 1,392 Compliance Notices, helping recover more than $33 million for over 17,000 workers. A further 791 Infringement Notices were issued across industries, resulting in $831,891 in fines, including enforcement relating to payslip and record-keeping obligations.

Support available for workers and employers

Booth said the regulator would continue to prioritise support for small businesses, employees and vulnerable workers, including people holding visas. Workers who believe they have been underpaid or whose workplace rights may have been breached can seek free information and assistance from the Fair Work Ombudsman.

Information and online reporting options, including anonymous reporting in languages other than English, are available at www.fairwork.gov.au. The Fair Work Infoline can be contacted on 13 13 94, while an interpreter service is available on 13 14 50. The figures highlight the continuing importance of workplace compliance, accessible reporting channels and enforcement to protect employees’ wages and entitlements across Australia.

Source: Fair Work Ombudsman, 2025–26 Annual Report and official media release, 29 October 2026.