Bistro business facing $40,000 in penalties for underpaying cook
A former bistro business is facing $40,000 in penalties for allegedly underpaying a cook his wages and entitlements.
The Fair Work Ombudsman is also seeking a court order requiring the employer to back-pay the worker in full.
The alleged underpayments
Facing court is Grant Goldsmith, who used to operate the Spinnakers Brasserie at Point Frederick at Gosford NSW until last year.
Fair Work commenced an investigation as a result of a wage theft complaint from the cook.
An inspector suspected Goldsmith failed to pay proper minimum wages in addition to 20-hours of personal leave taken when the worker was injured last year.
Fair Work subsequently issued Goldsmith with a Compliance Notice, requiring him to calculate and back-pay the cook his outstanding wages and entitlements.
The regulator alleges he failed to so, however.
Compliance Notices not optional
Industrial advocate Miles Heffernan warned employers that Compliance Notices are not optional.
“Employers who choose to ignore Compliance Notices do so at their own peril,” he said.
“They offer an opportunity for employers to rectify underpayments without incurring financial penalties.
“Those who don’t comply end up paying a whole lot more – which doesn’t make much sense to me.”
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Bistro business facing penalties
Meanwhile, Fair Work is seeking penalties against Goldsmith and his company, Tolu Investors, for their alleged failure to comply with the Compliance Notice.
Goldsmith faces a maximum penalty of $6,660 while his company faces a maximum penalty of $33,300.
The regulator is also seeking an order for Tolu Investors and Goldsmith to rectify any underpayments in full, plus interest and superannuation.
The Federal Circuit and Family Court has the matter listed for a directions hearing at Parramatta on 3 June 2022.
Fair Work said Tolu Investors has subsequently made a partial back-payment in relation to the personal leave entitlements.
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