Near $450,000 recovered for Brisbane food workers
The Fair Work Ombudsman has recovered $447,339 for 365 underpaid food outlet employees in Brisbane and issued more than $162,000 in fines for pay slip and record-keeping breaches, following surprise inspections.
Fair Work Inspectors investigated 51 fast food outlets, restaurants and cafés – mostly ‘cheap eats’ venues – in the southern Brisbane suburbs of Sunnybank, Sunnybank Hills, Macgregor and Robertson.
Businesses were targeted for investigation based on FWO intelligence from a range of sources, including anonymous reports.
The FWO found 44 businesses (86 per cent) had breached workplace laws. The most common breaches were a failure to pay penalty rates (32 businesses); underpaying minimum wages for ordinary hours (24 businesses); and record-keeping breaches (21 businesses).
Fair Work Ombudsman Anna Booth said improving compliance in the fast food, restaurants and cafés sector was an ongoing priority for the regulator.
“These disappointing findings in Brisbane are part of a national Food Precincts Program where we’ve often found that low-cost dining comes at the expense of workers’ lawful wages,” Ms Booth said.
“Employers must follow all wage laws, including penalty rates, which generally serve as compensation for those working at times when most people are not. Those doing the wrong thing are being found out and held to account.
“Record-keeping and accurate pay slips are the bedrock of compliance and some employers have paid the price – part of more than $162,000 in fines – for failing to follow those laws.
“Employers should access our wide range of free online tools and resources to ensure they’re meeting their obligations, or contact us directly for free advice. We want to help businesses in the food sector get it right in the first place.
“We also urge workers with concerns about wages and entitlements to reach out to us - including anonymously if preferred.”
The largest amount recovered from any one business was almost $80,000 for 27 restaurant employees, including nine visa holders – seven on international student visas and two working holiday visa holders. They had between them been underpaid their minimum rates, weekend penalties, public holiday entitlements, split shift allowances, and annual and personal leave accruals.
Following investigations, the FWO issued 39 Compliance Notices, recovering $447,339 for 365 workers.
Forty-three Infringement Notices issued to a total of 28 businesses for pay slip and record-keeping breaches led to $162,045 in fines paid.
Previous audits of Brisbane food outlets have recovered more than $404,000 for 623 underpaid workers; over $309,000 for 369 underpaid workers; and almost $65,000 for 180 underpaid workers.
Combined with the investigations in Brisbane’s south, more than $1.2 million in wages has been recovered for Brisbane food workers as part of the FWO’s national Food Precincts Program.
The FWO’s surprise inspections have also taken place in Melbourne, Sydney, Hobart, Launceston, Darwin, the Gold Coast, Perth, Newcastle, Canberra, Cairns and the Sunshine Coast.
In 2023–24, the regulator recovered $5.6 million for more than 3000 underpaid fast food outlet, restaurant and café workers nationally.
Some of the FWO’s highest court-ordered penalties have involved businesses in this sector, such as the record $15.3 million against the former operators of Sushi Bay outlets for deliberately exploiting vulnerable migrant workers, and $4 million against the operators and managers of three Din Tai Fung restaurants for deliberately and systematically underpaying vulnerable migrant workers and providing false records.
The FWO has interactive tools to help employers and employees in the fast food, restaurants and cafés sector, and information for franchisees. Employers can also use the FWO’s pay calculator and Small Business Showcase.
The FWO also has resources for visa holder workers – who have the same workplace rights as any other workers.
Jonathan Jackson, 5th December 2024
