Coastal Eateries Raided Over Pay
The Age
Saturday September 1, 2007
DOZENS of restaurant and takeaway staff were questioned and 17 shops raided in the main street of Warrnambool last night as the Workplace Ombudsman launched a dramatic blitz on what he fears is a culture of exploiting and underpaying workers.
A team of 24 workplace inspectors bussed in from Adelaide and Melbourne swooped on the seaside city as the peak dining period was starting to identify and quiz employees paid off the books. They served notices to produce time and wage records and asked to look at rosters. Some of those alleged to be working long hours for minimal cash payments were students and workers on controversial subclass 457 visas."The audit in Warrnambool was sparked by the receipt by our Warrnambool office of credible information from the community about potential exploitation of young workers," Workplace Ombudsman Nick Wilson told The Age.It is believed some of the allegations may include instances of intimidation and other forms of harassment. Others are believed to relate to overseas students at Deakin University's Warrnambool campus.At pizza restaurant Bojangles, in the main street, staff told inspectors they were paid through the books and had legitimate rosters. Floor manager Simon Mugavin reacted with shock when two Workplace Ombudsman inspectors walked in as his staff were preparing for the Friday rush at 5.45pm. "We have credible information . . . that there are a lot of places paying cash in hand," inspector Steve Mastwyk told Mr Mugavin.Mr Mugavin later said he had no knowledge of other restaurants underpaying workers in Warrnambool, or paying cash, but he would not consider doing it himself, because it would not be worth being caught. "If you can't operate by the proper systems, then you're just going to get yourself into trouble. Wages are a fact of life, if you can't pay them, you may as well shut up shop."At the Charcoal Chicken, owner Anna Ksefteris said hers was a family-run business that employed some students. They were paying the right rates, she said.ACTU secretary Sharan Burrow said the raid "shows just how widespread is the exploitation of workers under the Government's industrial relations laws"."The only way to get rid of this sort of exploitation is to get rid of WorkChoices," she said.Mr Wilson said the raid was part of a national audit of the fast-food industry, adding, that "paying young workers what they are entitled to is an integral part of running a successful business. It is not an additional burden."It is the first time the Ombudsman has launched a peak-hour blitz, but it could be repeated in other regional centres if the raid finds evidence of exploitation.
© 2007 The Age
