Greymouth catering company penalised for labour law breaches

09 March 2015

Greymouth catering company penalised for labour law breaches

The Employment Relations Authority has ordered holiday arrears be paid to a worker and imposed a penalty on a Greymouth catering business for breaching employment laws.

The Ministry of Business, Innovation and Employment’s Labour Inspectorate investigated Chez Beirne Catering & Homestay last year after receiving a complaint from a former employee who was employed as a catering assistant. The investigation found that the employer had not paid the employee holiday pay as required by the Holidays Act 2003.

The Inspectorate brought the case before the Authority after the employer failed to repay the arrears and provide a copy of employment agreements, time, wage and holiday records despite multiple requests.

The Authority found that the employee should be paid over $6,000 plus interest in holiday pay arrears. They also issued Chez Beirne Catering & Homestay with a penalty of $4,000 for failing to comply with the Holidays Act 2003.

Labour Inspectorate Southern Regional Manager Stuart Lumsden says the Inspectorate takes any breaches of minimum employment rights seriously.

“It is a concern that an employer felt they could bypass these laws without consequences. The penalty sends a clear message to employers that failure to comply with the minimum employment standards will result in enforcement action,” says Mr Lumsden.

The Ministry encourages anyone in this situation, or who knows of anyone in this situation, to call its contact centre on 0800 20 90 20 where their concerns will be handled in a safe environment.

The Employment Relations Authority’s determination on this case is available here http://www.dol.govt.nz/workplace/determinations/PDF/2015/2015_NZERA_Christchurch_22.pdf

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