A family-owned bakery will be paying well over $100,000 in penalties, compensation and outstanding wages after taking advantage of two migrant workers, the Ministry of Business Innovation and Employment said.

A Labour Inspectorate investigation into Taumarunui’s The Bakehouse Café found that the business had hired two migrant workers and failed to pay the minimum wage, keep accurate wage, time, holiday and leave records, and expected excessive overtime without adequate remuneration.

“In some weeks they worked for a total of 77 hours each, double what was on their employment agreements, and for less than the minimum wage,” Labour Inspectorate national manager Stu Lumsden said.

“The employer was opportunistic in breaching their rights, recognising their employees were unfamiliar with New Zealand employment laws and their rights and entitlements.”

According to Lumsden, the two workers eventually realised they were being cheated and exploited, and that the work they were doing wasn’t what was agreed.

As a result, the Café will pay $70,000 in penalties, $20,000 compensation, and a further $36,191 in outstanding wages and holiday pay arrears.