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  • 6 weeks ago
Cash-in-hand no longer appears to be the preferred strategy some business owners use to underpay staff. Researchers and advocates say an increasing number of migrant workers in Australia are instead being told to get an Australian business number, or ABN.

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00:02International student Mai was filled with pride when she landed her first job.
00:07At that time I was really happy because now I can live by myself, be more independent, not rely on
00:15my family.
00:16But her employer at a Canberra hospitality business underpaid her.
00:20Because I was an international student, so I was really afraid to speak up.
00:26International students in Australia are underpaid almost $3.2 billion each year, according to the Migrant Justice Institute.
00:34What we found is that the more that people were underpaid, the more likely they experienced conditions like having their
00:42passport confiscated or being made to work very long hours with no breaks.
00:47A Commonwealth funded study heard from almost 10,000 temporary visa holders.
00:52More than one third were using an Australian business number or ABN.
00:56That's more than four times the prevalence of ABN work in the general workforce.
01:02ABNs can misclassify employees as independent contractors, robbing them of entitlements.
01:08And while reports of cash in hand payments are declining, sham contracting is on the rise.
01:13What we're seeing now is increasing use of ABNs because then there's no record of these people as employees and
01:21their pay can't be compared against their entitlements under the Fair Work Act.
01:25The Department of Home Affairs allows temporary visa holders to stay in Australia for up to 12 months after their
01:30visa ends to pursue a workplace exploitation claim.
01:34But few ever do.
01:35Most of the international students we're looking at who've been egregiously underpaid are generally fearful to come forward.
01:43workers including Mai.
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