IMPORTANT HR NEWS
by John Girardi
In September 2025, the Federal Court delivered a landmark
decision that sent shock waves through the world of Human
Resources. In that case, the rostering arrangements for salaried
employees at Woolworths and Coles were found to have resulted
in many of these employees being underpaid, even though they
appeared to be on good salaries. The ramifications of this
decision is likely to cost hundreds of millions of dollars in back
payments.
This isn’t a supermarket problem. It’s a compliance risk that all
business owners need to be aware of.
With salaried employment contracts, salaries are usually stated
in annual terms. For example, an employee might be paid an
annual salary of $80,000 plus superannuation. The salary is
designed to compensate the employee for things like overtime
rates, shift penalties, and annual leave loading. It doesn’t mean
the employee isn’t paid these entitlements – legally.
