Melbourne café in court for failing to back-pay staff

09 January, 2020 by
Hospitality Magazine

Melbourne’s French Baguette Café is in court after failing to back-pay staff.

Fair Work inspectors discovered staff underpayments at two café locations in Footscray and Richmond during an auditing campaign in 2019.

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It was found full-time and part-time employees had been underpaid overtime rates and weekend and public holiday rates. A breach of pay slip laws also occurred.

The company, Saveway Store Pty Ltd, and its sole director Son Thanh Nguyen received a compliance notice, however staff remain unpaid.

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On top of penalties up to $31,500 for the compliance notice and $63,000 for the pay slip breach, Nguyen faces a penalty which could reach as much as $6,300.

The Fair Work Ombudsman is seeking a court order requiring the company and Nguyen to take the action detailed in the notice including superannuation and interest.

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“Where employers do not comply with our notices, a court can order them to pay penalties in addition to back-paying any affected employees,” says Sandra Parker, Fair Work Ombudsman.

“The Fair Work Ombudsman is cracking down on alleged non-compliance in the fast food, restaurant and café sector. We will continue to utilise our full suite of enforcement tools to hold employers to account.”

The matter will be heard on 18 February 2020.

Image credit: Zomato

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