An inquiry into ‘wage theft’ is set to commence next month in Western Australia.

The McGowan Labor Government said the inquiry will examine the incidence and impact of wage theft and make recommendations on strategies to combat the issue.

Tony Beech, former Chief Commissioner of the Western Australian Industrial Relations Commission, has been appointed to undertake the inquiry.

The inquiry will look at the current regulatory framework at a state and federal level, and recommend strategies to combat wage theft and assist affected workers through a report will to government by June 2019.

In a statement, the WA Government said it has been reported that Australian workers are being underpaid more than $1 billion in lost wages each year.

Industrial Relations Minister Bill Johnston claimed the Inquiry was necessary to ensure a fair safety net of wages and entitlements for all workers.

“I encourage workers affected by wage theft, stakeholders and the community to get involved in the inquiry so that practical strategies can be developed to combat this issue,” he said.

It follows the Victorian Government proposing up to 10 years jail for employers who deliberately underpay or don’t pay their workers, with the re-elected Andrews Labor Government set to introduce the new legislation making ‘wage theft’ a criminal offence.

AREEA’s position, aligned to that of other employer groups, is that the state legislation is unnecessary given federal laws already comprehensively address the issue.

Wage theft, an emotive union phrase referring to underpayment of wages that is gaining traction in the media, continues to be one of the key advocacy areas of the ACTU leading into the Federal Election.

AREEA invites members to provide comments or feedback via [email protected].