The Fair Work Ombudsman has recovered $239,505 in wages for 333 underpaid workers in the wake of suprise inspections the office conducted in Sydney’s food precincts.
Fair Work Inspectors investigated 49 businesses across Haymarket, Chinatown, Darling Harbour, Barangaroo, Surry Hills and Darlinghurst. It has thus far completed investigation of 47 businesses, with 36 businesses found to have breached workplace laws.
Of those 36 businesses, 31 had underpaid their workers and 22 had failed to meet pay slip or record-keeping requirements.
The most common breaches found were underpaying minimum hourly rates (30 businesses), followed by failing to pay penalty rates (24 businesses) and breaches of pay slip laws (21 businesses).
Fair Work Ombudsman Sandra Parker said the inspections were part of a national program that has targeted food precincts in Sydney’s Glebe Point Road, Melbourne, Brisbane, the Gold Coast, Adelaide, Darwin, Hobart, Launceston and, most recently, Perth. The program has recovered more than $2 million for workers.
“Uncovering high levels of non-compliance in Sydney’s fast food, restaurant and cafĂ© sector, as the FWO has nationwide, is disappointing,” Parker said. “Employers can’t pick and choose which wage laws they follow and those doing the wrong thing are being found out. The Fair Work Ombudsman will continue to prioritise improving compliance in this sector, which we know employs many young workers and visa holders who can be vulnerable.”
Businesses were selected for surprise inspections based on their risk of breaching workplace laws. At-risk businesses had a history of non-compliance with the FWO, had been the subject of anonymous tip-offs, or employed vulnerable visa holders.
The FWO then issued a Compliance Notice to each of the 31 businesses, recovering $239,505 for 333 workers. There were 27 Infringement Notices issued for payslip and record-keeping breaches, resulting in $90,354 in fines paid. The largest recovery from one business was $52,081 for 18 casuals and full-time employees.