Fair Work Infoline: 13 13 94
Media Release
10 Feb 2010
Former hotelier faces court for allegedly paying
employee just $7 an hour
The Fair Work Ombudsman has launched a prosecution against the former
operators of a hotel in North-East Victoria for allegedly paying a casual employee
just $7 an hour.
Documents lodged in the Melbourne Magistrates Court allege the worker was
underpaid a total of $27,875 between October, 2006 and May, 2009.
Facing court is Ringinn Pty Ltd, which previously ran the Whorouly Hotel near
Wangaratta, and Greg Walter Ring, the companys sole owner.
The Fair Work Ombudsman claims the employee generally worked seven days a
week and was usually paid a flat rate of $7 per hour, or $90 to $150 per week.
He was entitled to receive between $17.31 and $19.50 an hour for his duties,
which included delivering mail, driving and bar work.
Fair Work inspectors discovered the alleged underpayment when they
investigated a complaint from the employee.
Mr Ring was allegedly also involved in his company failing to make and keep
proper employment records for the employee and failing to issue him payslips.
Fair Work Ombudsman Executive Director Michael Campbell says the decision to
prosecute was made because of the significant amount involved and the
employers failure to rectify the matter - despite numerous requests.
The Fair Work Ombudsman alleges Ringinn and Mr Ring have committed several
breaches of workplace laws.
The maximum penalty per breach is $33,000 for Ringinn and $6600 for Mr Ring
for the underpayment matters and $5500 for Ringinn and $1100 for Mr Ring for
the employment record and payslip matters.
The Fair Work Ombudsman promotes harmonious, productive and co-operative
workplaces. It also monitors compliance and investigates breaches of national
workplace laws.
Employers or employees seeking assistance should contact the Fair Work Infoline
Media inquiries:
Craig Bildstien, 0419 818 484. craig.bildstien@fwo.gov.au
Ryan Pedler, (03) 9954 2561, 0434 365 924. ryan.pedler@fwo.gov.au