Operation Topaz investigators uncover $25m owed to ATO amid worker exploitation probe


Wed 26 Nov
ABC News

In short:
Fifty farmers and labour hire providers in the Gatton have been investigated over allegations of worker exploitation.

Federal government officers found seven employers were liable for $25 million owed to the Australian Taxation Office for unpaid taxes, pay-as-you-go withholding and superannuation.   

What's next?
Officials will continue to investigate businesses suspected of acting in a shadow economy by failing to comply with tax, employment and immigration laws.


An investigation into farms and labour hire businesses in Queensland's agricultural heartland have uncovered $25 million in unpaid taxes, according to federal authorities.

Five employers in the Gatton area were found to have failed to pay farm labourers a minimum casual wages and overtime rates.

The Australian Taxation Office (ATO), Fair Work Ombudsman (FWO) and Department of Home Affairs visited seven locations in November last year as part of Operation Topaz, including farms growing broccoli, onions, pumpkins and shallots.

Men and women in dark uniforms, along with others in high-vis vests, stand in tree-lined a car park.
Government officers investigated allegations of worker exploitation at farms in the Gatton region in November 2024.

The ATO audited more than 50 taxpayers, which revealed that more than $25 million had gone unpaid.   

The office said the investigation found those taxpayers had a mix of taxes, pay-as-you-go withholding and superannuation owing.

They were hit with significant penalties and interest.

ATO assistant commissioner Tony Goding said most taxpayers were found to have been doing the right thing, but it was disappointing others had failed to uphold their responsibilities as employers.

"It's clear that there are some bad apples who were trying to cheat the system by ripping off workers and the community," he said in a statement.

"Businesses that choose to flout taxation law face serious consequences, including significant financial penalties."
Mr Goding said tip-offs and shared intelligence surged in Gatton after the operation in November 2024, which helped uncover the exploitation at the heart of the operation.


Tony Goding says employers who are not doing the right thing will be held accountable.

Dodgy workplaces investigated
The investigation also focused on whether the employers, including labour hire contractors and farmers, were compliant with workplace law.

The FWO recovered nearly $24,000 from five employers of 67 workers, mostly in the labour hire industry in the Gatton region, and issued eight compliance notices to seven employers.

Officers had found those workers had not been paid minimum casual, overtime, or public holiday rates.   

The FWO found nine labour hire contractors and farmers were noncompliant with workplace laws.


Anna Booth says those found in breach of workplace laws will be pursued.

"Labour hire employers must focus on meeting the wage and other legal obligations to their workers and we'll continue to hold them to account," ombudsman Anna Booth said.

"Failure to keep records and issue payslips can mean the workers have no visibility as to whether they are being paid correctly."

Ms Booth said the horticulture sector was a priority, given its history of breaching workplace laws and the large number of vulnerable workers employed on farms and orchards.

Three labour hire employers were also fined nearly $18,000 in total for other breaches.

Two of the FWO investigations are ongoing.

Immigration compliance also reviewed
Meanwhile, Home Affairs compliance officers made more than 423 immigration status checks.

Most businesses and individuals scrutinised as part of the Australia Border Force (ABF0 investigation were found to be doing the right thing.

But ABF Commander John Taylor said several checks led to various referrals to partner agencies for further scrutiny.

"Migrant workers play a key part in the economy, particularly in remote and regional communities," he said.

"There is no place in Australia for employers who exploit them."

Officers will continue their investigations as part of Operation Topaz.