New Zealand kiwifruit business fined over $30,000 for underpaying workers
The recent investigation found Aulack failed to pay the minimum wage to two employees, made unauthorised deductions from one employee's wages and did not provide holiday pay to another. The inspector's inquiry began with a request for a sample of records for five workers but, after speaking with other workers, found the identified breaches were only the tip of the iceberg.
A statement taken from a senior employee, who was in charge of payroll and involved in other administration, disclosed systematic underpaying of workers. The inspectorate found more than 250 people had worked for the business in the 12 months previous to its inquiries. Most were backpackers on working holiday visas and locals who were transient or casual. They were employees vulnerable to exploitation because they were less able to identify the employment breaches, the ERA said.
As reported on stuff.co.nz, Labour Inspectorate regional manager Kevin Finnegan said although the whole sum owed to employees was only about $500, the ‘persistent and deliberate’ breaches have meant a hefty $30,000 fine. "This sends a strong signal to employers that where you repeatedly breach employment law, you will face serious consequences.”
