Court orders Qld restaurant operators to pay $225,500 after underpaying 'vulnerable' employee

Holders 'unaware of their rights' are prioritised, says the Fair Work Ombudsman

Court orders Qld restaurant operators to pay $225,500 after underpaying 'vulnerable' employee

The former operators of two Chinese restaurants in Queensland have been penalised in court after underpaying their employee.

The Fair Work Ombudsman (FWO) has secured $225,500 in penalties against the directors of Fu Kang GC Pty Ltd (Fu Kang). The latter are also married to each other.

The penalties came after Fu Kang breached the Fair Work Act by underpaying an employee, a cook on a sponsored visa. The court said they underpaid almost $47,000 across several months between 2016 and 2017. The spouses each admitted to their involvement in the breaches, including producing false and misleading records.

In a media release, FWO Sandra Parker said matters involving vulnerable workers such as visa holders “who could be unaware of their rights and unwilling to speak up” are prioritised.

“The Fair Work Ombudsman will continue to use all our powers to hold employers to account whenever we find allegations impacting vulnerable workers. The significant underpayments and false records in this case are entirely unacceptable in any workplace,” Parker said.

“All workers have the same rights in Australia regardless of visa status,” Parker added.

Meanwhile, the Federal Circuit and Family Court ruled that Fu Kang “took advantage” of a “vulnerable” employee. In its judgement, the court said that “there is an element of exploitation that colours this case. [The employee] was a vulnerable person in that he relied upon [Fu Kang] for his ability to be in this country.”

The court also said the false documents produced by Fu Kang were an “attempt to cover” the underpayments.

“The penalty for the provision of false documentation needs to be in the higher echelon because of the brazen manner in which [Fu Kang] acted,” the court said.

Fu Kang sponsored the employee, a Chinese national, on a 457 skilled visa. The spouses are also of Chinese background.

According to FWO, Fu Kang has ceased trading and its restaurants, “Fu Kang Gold Coast Chinese Restaurant” in Labrador and “Memory Taste of Fu Kang” in Southport, are now closed.

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