Employsure ACCC Court Action

Employsure ACCC Court Action

The Federal Court has finalised trial costs and pecuniary penalties arising from the action taken by the Australian Competition and Consumer Commission (ACCC) against Employsure, one of Australia’s largest workplace relations and human resource providers.

In 2021, the Full Court determined that Employsure had engaged in misleading or deceptive conduct by publishing Google Ads that conveyed a false representation that the company was affiliated with the government (the contravening conduct).

The ACCC sought a pecuniary penalty of $5 million in relation to the contravening conduct, an injunction restraining Employsure from making any representation of government affiliation for a period of five years, and that Employsure should repay 25% of the ACCC’s trial costs (an amount of $220,115.44). The Court imposed a pecuniary penalty of $1 million but declined to grant any injunctive relief against the company.

The court action was not the success story the ACCC was looking for but reviled the business tactics and results of Employsure. The related Google ad campaign delivered thousands of three-year contracts for services with small-to-medium sized employers.

With new employer clients joining our books after an Employsure fixed contract experience, our clients see value in a monthly relationship with a trusted industry-focused employment law firm starting from $1,200.00 pm to support their management and on-site teams.

Australian Competition and Consumer Commission v Employsure Pty Ltd

For questions about legal costs, deceptive conduct, or other employment questions, please contact Dean Cameron at Workforce Advisory Lawyers – We Know Employment Law on 1300 925 529, 0417 622 178 or via email to dean.cameron@workforceadvisory.com.au

Disclaimer: This information is provided as general advice on workplace relations and employment law. It does not constitute legal advice, and it is always advisable to seek further information regarding specific workplace issues. Liability limited by a scheme approved under professional standards legislation.

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