Agent's licence under review

A Umina real estate agent's license is under review after being fined more than $52,000 for underpaying an employee almost $9000 in 2007.

Ms Marie Lois Jones, currently working in a real estate agency in Umina, was handed down the penalty following a prosecution by the Fair Work Ombudsman.

As sole director of Gateway Real Estate, Ms Jones was fined a total of $52,800 for exploiting a real estate salesperson by paying him just $6.58 an hour.

Gateway Real Estate paid the sales person a flat rate of $250 per week from April to December, 2007, which equated to $6.58 per hour, according to the Fair Work Ombudsman.

The employee was entitled to be paid at least the federal minimum wage, which was $13.47 to $14.65 at the time.

Ms Jones was also involved in failing to pay out the salesman's accrued annual leave entitlements when his position was terminated.

Chief industrial magistrate Mr Gregory Hart, who handed down the penalty, said the contraventions were "deliberate", "serious" and "constituted a blatant disregard" for the sales person's entitlements.

"It is desirable for a clear message to be conveyed to employers in industry to the effect that industrial instruments are not to be blatantly flouted, and employees exploited, to achieve financial benefit for the employer," Mr Hart said.

"Where such conduct is detected, the courts will apply heavy penalties in accordance with the legislative framework set by the parliament."

Fair Work Ombudsman executive director Mr Michael Campbell said the case sent a clear message that businesses caught exploiting workers would pay a price.

"Every worker has a fundamental right to receive their full legal entitlements and we will consider legal action to protect that right," Mr Campbell said.

A NSW Fair Trading spokesperson said it was aware Ms Jones was currently working in Umina and was reviewing whether the action taken by the Fair Work Ombudsman against her would warrant disciplinary action against her current real estate licence.

The spokesperson confirmed that this was not the first time Ms Jones' real estate license had been under review.

"On October 24, 2007, NSW Fair Trading took disciplinary action against Marie Jones and her company Gateway Real Estate (Sydney) Pty Ltd for failing to declare that she had previously been the director of a company that had been subject to external administration," the spokesperson said.

"Ms Jones had been the sole director and company secretary for Sydney Harbourside Real Estate Pty Ltd which first came under external administration on May 11, 2006.

"As a result of the disciplinary action, Fair Trading cancelled Gateway Real Estate's corporation licence and Ms Jones' personal real estate agent licence.

"Ms Jones appealed to the Administrative Decisions Tribunal and on May 16, 2008, the Tribunal overturned Fair Trading's decision.

"Ms Jones renewed her licence on May 19, 2008.

"She was issued with licence number 111624, which is due to expire on July 9, 2010."

Real Estate Employers' Federation of NSW executive director Mr Greg Paterson said Ms Jones's case highlighted the need for every real estate agency, irrespective of size, to be properly informed of the minimum employment obligations arising under workplace relations legislation.

"Access to such information is readily available from sources such as the Federation," Mr Paterson said.

"In its decision, the Court has sent a strong message that employers who fail to meet their minimum obligations under workplace relations laws, will be dealt with most severely by the Courts."

Press release, 22 Jan 2010 Craig Bildstien, Fair Work Ombudsman Media statement, 2 Feb 2010 Greg Paterson, Real Estate Employers' Federation of NSW Media statement, 4 Feb 2010 NSW Fair Trading