BRISBANE BUSINESS SLAMMED FOR UNDERPAYING

Written on the 14 August 2014

BRISBANE BUSINESS SLAMMED FOR UNDERPAYING A BRISBANE company has landed itself in hot water following a Fair Work Ombudsman investigation concerning staff underpayment.

Samdoo Corporation owes 79 employees a collective total of $140,000 for the misconduct which occurred between August 2011 and August 2012.

The company operates the Diana Plaza Hotel and its Apollo Day Spa at Woolloongabba, the adjacent Princess Plaza shopping complex, and retail liquor outlets at Mater Hill, Buranda and Bulimba.

Of the 79 employees, four were underpaid more than $5000, with the highest back-pay remuneration ordered for an individual employee to total $13,500.

Back-pay will cover underpayments in minimum hourly rates, casual loadings, penalty rates for weekends, evening and public holiday work, and overtime rates.

Samdoo has entered into an Enforceable Undertaken with the Fair Work Ombudsman as an alternative to litigation, which will require administering apologies to those who have been affected and a reimbursement of outstanding entitlements prior to November.

Fair Work Ombudsman’s Natalie James says this system was introduced by legislation in 2009 as an avenue for nominated employers who had accepted responsibility for their misconduct.

“We use Enforceable Undertakings where we have formed a view that a breach of the law has occurred, but the employer has acknowledged this, accepted responsibility, and agreed to co-operate with us and fix the problem,” says James.

“It means we can resolve matters more speedily than if we proceed down a path towards litigation, achieving outcomes such as training sessions for senior managers which aren’t always possible through the courts.

“It motivates the company to do the right thing and help them avoid the same mistakes again.”

Samdoo was found to be in breach of three awards set by the Fair Work Ombudsman following a random audit in April 2012: Hospitality Industry (General), Hair and Beauty Industry and Miscellaneous.

The employees in question worked across industries, holding positions as bottleshop attendants and beauty therapists, in kitchen and housekeeping services, and reception and security duty.


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