Fair Work Ombudsman Targets Disability Support Sector in Landmark Compliance Inquiry

The Fair Work Ombudsman (FWO) has launched a comprehensive, multi-year inquiry into Australia’s disability support services sector, amid mounting evidence of widespread non-compliance with workplace laws.

Fair Work Ombudsman Targets Disability Support Sector in Landmark Compliance Inquiry

The inquiry—set to unfold over the next 18 months—will investigate underpayments, exploitation, and questionable use of digital platforms operating in a gig economy model that has been criticised for eroding job security and legal entitlements.

At 1800NOWINNOFEE™, we welcome this bold step toward accountability and call on all workers—particularly vulnerable and casually engaged disability support workers—to come forward and assert their rights.

We exist to stand beside those who have been unfairly dismissed, underpaid, or misclassified as contractors when in fact they are employees entitled to the full protection of workplace laws.

Systemic Issues Identified

The FWO has received over 75,000 enquiries about the sector since 2020, including 2,500 anonymous reports and over 3,000 direct matters relating to wage theft and unlawful conditions. An alarming $68 million in back payments was recovered for workers over that time—clear proof that exploitation is not the exception, but a deeply embedded systemic failure.

Concerns have also been raised about financial pressure on providers, increased labour costs, a heavy reliance on migrant and casual workers, and the growing influence of digital gig platforms. The union representing many of these workers, the ASU, has described the situation as “whack-a-mole” compliance—providers popping up and vanishing to avoid scrutiny, a tactic well known to our team at 1800NOWINNOFEE™.

Academics and Advocates Demand Urgent Reform

Fiona Macdonald of the Centre for Future Work has urged the FWO not to take a “softly, softly” approach. She argues that the gig economy model—reliant on low-paid, precarious, and often misclassified labour—must be reined in. Workers, she says, are being left without proper support or clarity on their entitlements, while fly-by-night providers compete on price at the expense of legal compliance.

This echoes what we see daily at 1800NOWINNOFEE™: employees incorrectly labelled as independent contractors; support workers paid below the Award minimums; excessive hours without overtime; and entitlements like superannuation, leave, and allowances simply ignored.

A Call for Coordination and Enforcement

Angus McFarland of the ASU has called for coordinated enforcement between the FWO, ATO, ASIC, and NDIS Commission. He argues that without criminal and civil sanctions for dodgy operators, there can be no trust in the NDIS or disability support sector at large.

We couldn’t agree more. Compliance must be more than a tick-box exercise. We support calls for criminal sanctions and phoenixing prevention, and we will assist any worker in the sector who wishes to raise a complaint, whether publicly or anonymously.

1800NOWINNOFEE™ – Here for Disability Support Workers

If you work in the disability support sector and are concerned about your pay, conditions, or employment status—get in touch with 1800NOWINNOFEE™. You may be entitled to back pay, reclassification, or protections against unfair dismissal. We operate Australia-wide and fight for workers’ rights at no upfront cost.

This FWO inquiry is a long-overdue step in the right direction—but real change will only occur if workers stand up and speak out. We are here to make sure they’re heard.

Visit www.1800nowinnofee.com.au or call 1800 669 466 for confidential support.