From Security Wage Theft to a Legitimate Business: A 5-Step Transition Plan
Perhaps you started your security business on the wrong note—undercharging clients and, as a result, underpaying your staff. You don’t have to continue down this path.

Even in this industry, there is an opportunity to change course and build something ethical.

If you are ready to transition from a high-risk model to a legitimate enterprise, here are the steps you need to take:

Step 1: Financial Integrity Stop bidding for “bottom-dollar” contracts. Only pursue agreements that provide the margins necessary to pay legal award wages and meet all compliance and tax obligations.

Step 2: Transparent Renegotiation Approach your current clients. Inform them that the current rates likely breach Accessorial Liability under s.550 of the Fair Work Act 2009. Make it clear that both your business and theirs can be held legally liable for underpayments.

Step 3: Provide Context Educate your clients on the risks of choosing cheap labour. Send them the MA 60 Minutes documentary and recent articles regarding Fair Work Ombudsman crackdowns in the security sector. Show them that “cheap” security eventually becomes very expensive.

Step 4: Know When to Walk Away. If a client is unwilling to renegotiate or pay a rate that allows for legal compliance, you must let the contract go. An illegal contract is a ticking time bomb for your reputation.

Step 5: Pivot if Necessary. If you cannot secure contracts that allow you to pay employees their full legal entitlements, it is time to close the security business. Transition your skills into an industry where you can operate ethically and profitably, such as:

Regional Motels/Accommodation
Fuel Stations
Agriculture and Farming
Logistics and Transport
Removalist Services
HVAC and Trade Services

The Goal: To help you transition from running a fraudulent operation to building a legitimate, sustainable business you can be proud of.