James Cook University (JCU) has admitted to payroll discrepancies affecting some of its casual employees, acknowledging potential underpayments and entitlement issues within its systems and processes.

According to a statement released by JCU, an initial evaluation of their payroll systems revealed instances of potential non-compliance regarding minimum hours worked and other entitlements for casual staff.

Vice Chancellor Professor Simon Biggs expressed regret over the findings, stating, "I can confirm that, unfortunately, some historical issues have been identified and we deeply regret these,” reported HRD. 

The exact number of affected staff members is yet to be determined, but Biggs emphasised the urgency of addressing any required remediation.

JCU's commitment to rectifying the situation is underscored by the formation of a dedicated project team tasked with conducting a comprehensive review of payroll records. Biggs affirmed that this initiative will also involve a broader examination of processes and systems to enhance resilience against similar issues in the future.

The National Tertiary Education Union (NTEU) has condemned the underpayments as "unacceptable," with JCU branch president Jonathan Strauss asserting the need for full reimbursement of owed amounts. 

Strauss emphasised the NTEU's commitment to advocating for the recovery of all outstanding funds owed to JCU staff.

This isn't the first instance of payroll discrepancies at JCU, as the university previously uncovered underpayments totalling $1 million in superannuation benefits for 2,000 employees over an 11-year period in 2022.

JCU's proactive approach to self-reporting the issue to the Fair Work Ombudsman (FWO) has been met with appreciation from NTEU Queensland Secretary Michael McNally. However, McNally highlighted systemic issues contributing to a broader wage theft crisis within the university sector, with national underpayments exceeding $170 million.

Recent revelations of underpayments at institutions like the Australian Catholic University, which disclosed approximately $3.6 million in underpayments to around 1,100 casual employees, underscore the urgent need for governmental reform.

McNally called upon federal and state authorities to address systemic flaws that have enabled wage theft, warning of continued risks to higher education staff without significant reforms through initiatives like the Universities Accord response.

As JCU moves forward with its payroll review and remediation efforts, stakeholders are hopeful that proactive measures will ensure fair and equitable treatment for all university employees, safeguarding against future payroll discrepancies and fostering a culture of compliance and accountability within the sector.