Operation Zephyr: 18 SA Vineyards Raided in Wine Industry Crackdown

Eighteen vineyards across three of South Australia’s most recognised wine regions were raided by federal officers on 9 April 2026. Operation Zephyr brought together the Australian Taxation Office (ATO), the Fair Work Ombudsman (FWO), and the Australian Border Force (ABF) in a coordinated set of surprise inspections targeting labour compliance in the wine industry. Fair Work Ombudsman Anna Booth has confirmed this is the start of a 3-year national enforcement campaign.

For the tens of thousands of workers who pick, prune, and process grapes across Australia each year, the operation sends a clear signal: regulators are no longer waiting for complaints before they act.

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What Happened

On 9 April 2026, officers from three federal agencies conducted unannounced inspections at 18 vineyards across the Barossa Valley, Adelaide Hills, and McLaren Vale. The operation was carried out under the Shadow Economy Taskforce, a multi-agency initiative that targets unreported economic activity, non-compliance with tax obligations, and exploitation of workers.

Inspectors examined employer records on site, including time and attendance logs, payslips, rosters, tax filings, and superannuation accounts. The ATO published media grabs from the operation the same day, and multiple news outlets reported on the raids between 9 and 13 April.

The operation was not triggered by a single complaint. It was intelligence-led, meaning the agencies identified systemic risk indicators in the wine industry and acted proactively.

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What Regulators Were Checking

According to the ATO and FWO, inspectors examined six core areas of employer compliance:

1. Time and attendance records. Whether vineyards maintained accurate records of start times, finish times, and break periods for all workers, including casual and seasonal staff.

2. Payslip compliance. Whether workers received itemised payslips within one business day of being paid, as required under the Fair Work Act.

3. Penalty rates and overtime. Whether weekend, public holiday, and overtime rates were being paid correctly under the Wine Industry Award 2020 and the Horticulture Award 2020.

4. Superannuation contributions. Whether employer super was being paid in full and on time at the current guarantee rate of 12%.

5. Visa and work rights. Whether migrant workers on temporary visas were employed in compliance with their visa conditions, and whether employers were meeting sponsorship obligations.

6. Tax compliance. Whether businesses were correctly reporting worker payments through Single Touch Payroll (STP) and meeting PAYG withholding obligations.

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Why the Wine Industry Is an Enforcement Priority

The wine sector is not being singled out arbitrarily. Several structural factors make it a compliance hotspot.

Seasonal and casual workforce. Vintage season depends on a large, temporary workforce. Many of these workers are on Working Holiday visas (subclass 417 and 462) or seasonal worker program visas. The short-term nature of the work means fewer workers lodge complaints or pursue underpayment claims.

Labour hire complexity. Many vineyards do not directly employ harvest workers. Instead, they engage labour hire companies as intermediaries. This creates layers between the worker and the entity responsible for getting the pay right. When discrepancies arise, workers often do not know who their actual employer is.

Remote locations. Vineyards in the Barossa Valley, Adelaide Hills, and McLaren Vale are often in regional areas. Workers on temporary visas may have limited access to legal advice, union representation, or Fair Work information in their language.

Visa vulnerability. Workers on temporary visas sometimes fear that raising pay concerns could affect their visa status or their ability to secure second and third year visa extensions. This power imbalance makes non-compliance harder to detect through complaints alone.

It is important to acknowledge that many vineyard operators invest significantly in compliance and treat their seasonal workforce fairly. Industry groups have noted that the majority of producers operate within the law. The structural risks are real, but they are not universal. The 3-year campaign is designed to address systemic vulnerabilities across the sector, not to presume bad faith from every operator.

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What the 3-Year Campaign Means

FWO Anna Booth has confirmed that Operation Zephyr is the opening phase of a broader national enforcement program. This carries several implications:

• More inspections are coming. The April raids in South Australia are the first wave. Major wine regions in New South Wales, Victoria, Western Australia, and Tasmania can expect similar operations.

• Compliance expectations are rising. Vineyards relying on informal recordkeeping, cash payments, or unsupervised labour hire arrangements will face increasing scrutiny.

• Penalties will escalate. The FWO has indicated the campaign will progress from inspection and education to enforcement action. Penalties for serious breaches under the Fair Work Act can reach $93,900 per contravention for companies.

• Workers are being encouraged to come forward. The FWO has resources in multiple languages and has committed to protecting workers who report underpayment, regardless of visa status. The ABF has confirmed it will not use information from workplace inspections to cancel the visas of workers who are victims of exploitation.

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How to Check Your Own Pay

If you work in viticulture, horticulture, or any agricultural setting, here are practical steps you can take right now:

1. Collect your payslips. If you have not received payslips, that is itself a breach of the Fair Work Act. Request them in writing from your employer.

2. Check your hourly rate. Compare the rate on your payslip against the minimum rate in your applicable Award. The Fair Work Ombudsman Pay Calculator at fairwork.gov.au/pay is a free tool.

3. Count your actual hours. Include any time spent travelling between employer-provided accommodation and the vineyard, time waiting to start, and time on unpaid tasks before or after shifts.

4. Verify your penalty rates. If you worked weekends or public holidays, confirm your payslip shows the correct penalty rate under the Wine Industry Award 2020 or Horticulture Award 2020.

5. Check your superannuation. Log in to your super fund or check via myGov to confirm your employer has been making contributions at the 12% guarantee rate.

6. Use Justiico to audit your records. Upload your payslips and Justiico will compare your pay against the relevant Award, flag discrepancies, and show you exactly where your entitlements may not be adding up.

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What to Do If Something Looks Wrong

If your pay does not match your Award entitlements, you have options:

• Raise it with your employer first. Many underpayments result from genuine errors in payroll systems rather than deliberate non-compliance. A written request gives your employer the opportunity to correct the issue.

• Contact the Fair Work Ombudsman. Call 13 13 94 or visit fairwork.gov.au. The FWO can investigate complaints and take enforcement action where necessary.

• Contact your union. If you are a member, your union can provide advice and advocate on your behalf.

• Start a free audit with Justiico. Upload your payslips and get a clear breakdown of what you were paid versus what you should have been paid under the relevant Award.

Your workplace rights are the same regardless of your visa status, your employment arrangement, or whether you are employed directly or through a labour hire company. Minimum rates, penalty rates, payslips, and superannuation are legal entitlements, not discretionary.

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The Bottom Line

Operation Zephyr marks a shift in how Australian regulators approach the wine industry. Multi-agency, intelligence-led operations are replacing the traditional complaint-driven model, and the 3-year timeline signals sustained commitment rather than a one-off crackdown.

For workers, the message is straightforward: you do not have to wait for an inspector to visit your workplace. You can check your own pay, understand your own entitlements, and take action if something does not add up.

Know your worth.

Start Your Free Audit to compare your pay against the Wine Industry Award or Horticulture Award.