Shopping centre food court cops fine

shopping centre foodcourt mall

A food court in the Northcote Shopping Centre has been fined $164,397 for failing to pay minimum wage and holiday pay to five Chinese workers, according to the Ministry of Business, Innovation and Employment’s (MBIE) Labour Inspectorate.

Food City Limited has paid $126,897 in arrears to five Chinese workers whom they had employed as cleaners at the food court, with a further $37,500 penalty imposed by the Employment Relations Authority (ERA) in a ruling last week.

According to the Labour Inspectorate, Food City Limited failed to pay minimum wage and holiday pay, or keep written employment agreements, wage or time records.

“It’s really disappointing to see this level of non-compliance where the employer has just completely failed to meet the clear expectations set out in New Zealand’s employment law,” said David Milne, Labour Inspectorate regional manager.

Milne said pleading ignorance is no excuse — providing employees with at least the minimum wage, holiday pay, and written employment agreements are basic obligations which, he said, they expect every employer in New Zealand to meet.

“Taking advantage of employees is never acceptable, particularly vulnerable workers such as the migrants in this case, who were older, did not speak English, and were unaware of their rights and entitlements in New Zealand,” Milne said.

He added the penalties and arrears awarded against Food City Limited should send a strong message that this kind of exploitation will not be tolerated.

After being approached by the employees in August 2014, a Labour Inspector investigated the matter and found evidence of long running non-compliance.

The five employees worked from 1000 to 2200 at the food court, six days a week, however they were only paid the minimum wage for 40 of these 60 hours.

They were not allowed sick leave, and some had to stop working due to their failing health. All five employees were permanent residents.

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