Australasian Leisure Management
Aug 15, 2023

South-east Melbourne hospitality sector targeted by Fair Work Ombudsman

Melbourne’s south-east hospitality sector is being targeted by the Fair Work Ombudsman with surprise inspections of food outlets being undertaken this week to check workers are getting the right pay and entitlements.

Acting Fair Work Ombudsman Kristen Hannah said protecting vulnerable workers and improving compliance in the fast food, restaurant and café sector were priorities for the regulator.

About 30 businesses face investigations across the suburbs of Bentleigh, Bentleigh East, Carnegie, Glen Huntly, Caulfield, Caulfield East, Elsternwick and Clayton.

Fair Work Inspectors are speaking with business owners, managers and employees on the ground, and requesting records.

The regulator is acting after receiving intelligence from a range of sources, including anonymous reports, indicating potential underpayments of employees in the food precincts in the area. Most of the eateries are ‘cheap eats’ venues.

Businesses were targeted for investigation based on FWO intelligence which includes indicators of non-compliance, such as tip-offs to the FWO, or if they employed young, vulnerable workers such as visa holders, or both.

Hannah advised “Inspectors in south-east Melbourne are knocking on doors this week, and they will speak with employees and hold employers to account if they are not meeting their obligations.

“We know this sector engages many young workers and visa holders who can be vulnerable, as they are often unaware of their workplace rights and unwilling to speak up.

“Employers should be aware - we won’t hesitate to take enforcement action where appropriate.”

These inspections follow the Fair Work Ombudsman’s recent announcement of having recovered more than $680,000 in unpaid wages for fast food, restaurant and café sector workers in Melbourne’s inner south and inner west.

Hannah added “Employers should familiarise themselves with our free tools and resources to ensure they’re meeting their obligations. Workers with concerns should contact the FWO directly for free assistance.”

Inspectors are on alert for unlawfully low flat rates; non-existent or inaccurate payslips; deliberately falsified time and wage records; unpaid hours of work; late payments; unpaid penalty rates; unauthorised deductions; and adverse action such as being treated unfairly for raising workplace issues.

The audits are part of a national program that has previously targeted eateries in Melbourne’s Degraves Street and Hardware Lane, Brisbane, Sydney, Adelaide, Hobart, Launceston, Darwin, the Gold Coast, Perth and most recently Newcastle.

The FWO has interactive tools to help employers and employees in the fast food, restaurant and café sector, and for any franchisees. Employers can also use FWO’s pay calculator and Small Business Showcase. They also have resources for visa holder workers.

Reporting issues can also be made anonymously.

Employers and employees can visit www.fairwork.gov.au or call the Fair Work Infoline on 13 13 94 for free advice and assistance. An interpreter service is available on 13 14 50.

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