A landmark study released in July 2025 has shed light on the alarming scope of wage theft and labour exploitation facing young people in Australia. The Fair Day’s Work Report 2025, authored by Professor John Howe and Tom Dillon at the University of Melbourne, surveyed 2,814 workers aged 15–30 and presents one of the most comprehensive snapshots of underpayment and poor working conditions among young Australians to date.
Despite Australia’s robust workplace protections under the Fair Work Act 2009, the research confirms that many young workers are systematically denied their legal entitlements, including minimum wage, breaks, superannuation, and penalty rates.
Key Underpayment Statistics (pp. 12–13)*
The survey asked respondents about their lowest-paid job. Here’s what it revealed:
- 33% were paid $15/hour or less, well below the minimum adult wage of $24.95/hour at the time of the report (p. 3, 12).
- 9.4% were paid $10/hour or less, and another 16.5% earned $10.01–14.99/hour (p. 13).
- 14% were paid less than what was agreed before starting the job (p. 13).
- 17.9% said they were not paid at all for some of their work (p. 13).
- 8.2% were forced to return some or all of their pay to their employer (p. 13).
- 9.5% were paid in food or products instead of money (p. 13).
- 19.1% were paid in cash, which can signal informal or unlawful arrangements (p. 13).
Many respondents also experienced variable or unstable income:
- 34.5% reported fluctuating hourly rates
- 69.4% experienced changing weekly work hours (p. 14)
Unpaid Entitlements (pp. 15–16)
A large proportion of respondents were denied key workplace entitlements:
- 43.1% were made to perform extra duties without pay
- 36.5% were denied legally entitled breaks
- 35.5% did not receive overtime payments
- 33.9% received no pay during training or trial periods
- 27.3% were denied annual leave
- 25.1% did not receive compulsory superannuation
- 24.7% were denied unpaid leave
- 35.5% had their timesheet hours reduced by employers
Hidden Costs: Workers Paying Out of Pocket (pp. 15–16)
Despite legal protections under section 325 of the Fair Work Act, 60% of respondents said they had to pay for items necessary for their job, such as:
- Uniforms – 29.5%
- Fuel – 21.6%
- Training – 13.2%
- Tools or equipment – 12.2%
- PPE (Personal Protective Equipment) – 11.8%
- Materials needed for work – 11.4%
- Leasing or accommodation – 7%
These costs disproportionately affected non-binary workers, migrants, and those in precarious or contract roles.
Who Is Most Vulnerable? (pp. 3, 12–16)
The following groups were identified as facing higher rates of underpayment and exploitation:
- Transgender and non-binary workers
- Young people with a disability
- Temporary visa holders
- Workers from non-English speaking backgrounds
- Casual and contract workers
High-Risk Industries (p. 3)
Nine sectors were found to have especially high rates of noncompliance:
- Electricity, gas, water and waste services
- Manufacturing
- Mining
- Transport, postal and warehousing
- Public administration and safety
- Information media and telecommunications
- Accommodation and food services
- Retail trade
- Education and training
Seeking Help: Few Do (pp. 17–18)
Only 33.7% of young workers said they sought help about a pay issue. Those aged 15–19 were the least likely to do so. Of those who sought help:
- 40.3% turned to friends
- 33.2% used online searches
- 20.8% contacted the Fair Work Ombudsman (FWO)
- 20.7% contacted the Fair Work Commission (FWC)
- 12.9% contacted unions
Those who accessed formal support services often rated the experience positively:
- 43.4% found private legal services “very helpful”
- 41.1% said the FWO was “very helpful”
- 41.0% said the same for legal aid
- 40.3% for the FWC
- 35.3% for trade unions
Recommendations for Change (pp. 3, 22–25)
The report proposes six key recommendations:
- Target enforcement in industries with high rates of noncompliance
- Focus on serious breaches of law (e.g. non-payment of wages or superannuation)
- Prevent illegal cost shifting onto young workers (e.g. PPE, training, fuel)
- Introduce a “loaded rate” for junior workers to address unpaid additional work
- Promote awareness of Fair Work Ombudsman and Commission services
- Expand the use of data science and digital tools to detect and prevent underpayment
Young Workers Co-Design Solutions (pp. 19–21)
A “co-design sprint” involving 12 young people identified three major barriers to justice:
- Lack of knowledge and education about work rights
- Lack of employer accountability
- Lack of safe spaces to speak up
Their recommendations included:
- A compliance self-assessment tool for small–medium businesses
- An online platform to help young workers understand and enforce their rights
Why This Matters to the Cardijn Community
Joseph Cardijn taught that young workers are often “the most abandoned” and must be “the first evangelised.” This report reveals that many young Australians today continue to face structural injustice in their working lives.
As a community committed to faith, justice, and the dignity of labour, we must not look away. It is our moral and social duty to accompany young people, advocate for their rights, and help create a society where all workers — especially the youngest and most vulnerable — are treated fairly.
Let us continue to work together for a world where everyone receives a fair day’s pay for a fair day’s work.
Read the full report and explore the survey results here:
https://fairdayswork.researchsoftware.unimelb.edu.au
*All page references refer to the PDF pagination of the Centre for Employment and Labour Relations Law, Melbourne Law School’s report, “Underpaid and Overlooked: The Wage Crisis Facing Young Workers in Australia” (2025). Data is drawn from survey responses of 2,814 young workers and detailed in Parts 3–5 of the report (pp. 11–25).