The large mining company in Australia, BHP, claims that for 13 years, it underpaid both current and former employees nationwide.
A review by the company revealed that about 28,500 employees had less vacation time than they were entitled to.
In the meantime, 400 employees were not given additional benefits "due to an employment entity error". ".
According to BHP, the errors could cost the company up to $280 million (£225 million) before taxes and the incident has been reported to the authorities.
The company discovered that incorrect deductions from some affected employees' leave were made on Australian public holidays. They were therefore due an average of six days of leave altogether.
"We regret the impact these errors have had on both current and former employees. BHP's Australia President Geraldine Slattery said, "This is not good enough and falls short of the standards we expect at BHP.
She continued, "We are interested in and working to address and remediate these issues as soon as possible.
A review of its payroll systems has also been ordered, according to the company. In addition, it stated that during its call to discuss its full-year financial results in August, it would give an update on its investigations.
World's largest miner is BHP, with its headquarters in Melbourne.
The largest copper mine in the world, the Escondida mine in Chile, has about 80,000 employees and contract workers there.
The company was included in the blue chip FTSE 100 index of the UK for about ten years in addition to having its shares listed there.
After facing pressure from some investors to streamline its corporate structure, the company removed its shares from the London market in January 2022.
It would be simpler for BHP to raise capital, close deals, and distribute profits to shareholders, according to the move's proponents.