A Sydney retail business has agreed to revamp workplace practices after an investigation by the Fair Work Ombudsman found it had underpaid one of its staff almost $30,000.

The employee was engaged as a casual shop assistant by JPA Manchester Pty Ltd in April, 2010.

She worked primarily at the company’s Neutral Bay store until March, 2012, when she was promoted to online sales manager at Redfern.

The 33 year old Chinese national worked at Redfern until she resigned in February this year.

After investigating a complaint from the employee, Fair Work inspectors found she had been paid a flat hourly rate as low as $8, well below the minimum required under the General Retail Industry Award 2010.

The business back paid the employee a total of $27,967 last month.

JPA Manchester sells bed linen and homewares through its Sydney retail outlets. It also runs an online store under the name Benson Australia.

The company is owned and operated by Jia Ping Ou, who has entered into an Enforceable Undertaking with the Fair Work Ombudsman.

The Enforceable Undertaking requires the company to complete workplace relations training and conduct self auditing of other employee wages and entitlements.

Fair Work Ombudsman, Natalie James, says Enforceable Undertakings are one of a number of ways her Agency is encouraging voluntary compliance with federal workplace laws.

“We use Enforceable Undertakings where we have formed a view that a breach of the law has occurred, but where the employer has acknowledged this and accepted responsibility and agreed to cooperate with us and fix the problem,” she said.

“Many of the initiatives in EUs help to build a greater understanding of workplace responsibilities, motivate the company to do the right thing and help them avoid the same mistakes again.

“We know workplace laws can be complicated for the uninitiated, and for those who are not industrial experts, but we ask small business to use the tools and resources that we provide for them and inform themselves.”