Australia: News Corp admits to underpaying superannuation of staff by $1.5m; undertakes to pay with interest
Author: Hannah Blackiston, Mumbrella, Published on: 25 February 2020
"News Corp Australia admits to underpaying staff by $1.5m", 25 February 2020
News Corp Australia underpaid the superannuation of current and former staff by approximately $1.5m as a result of payroll system errors.
The error was reported to the Australian Taxation Office (ATO) after it was discovered by the media company.
A News Corp Australia spokesperson confirmed the error to Mumbrella and said it was discovered during a review of the superannuation contributions by the business.
“The majority of impacted employees had total underpaid super of less than $250. The total shortfall is about $1.5million and about 2500 past and present employees are affected,” said the spokesperson.
“News Corp sincerely apologies to those affected and will be writing to them this week advising that we will arrange for a payment, with interest, to be made into their super fund to rectify the shortfall.
“The review also found that in some instances, employees were overpaid in their gross salary and wages but News Corp will not be seeking to recover these monies.
“The shortfalls were the result of inadvertent payroll system errors and News has taken appropriate measures to address them.”
Related companies: News Corp Australia (part of News Corporation)