The Fair Work Ombudsman has secured $13,986 in penalties in court against the operators of a coffee and fast food company on the Gold Coast.
The Federal Circuit and Family Court has imposed a $11,988 penalty against Bean Away Pty Ltd, which operates the takeaway coffee shop and eatery Zarraffa’s Coffee Pacific Pines, and a $1,998 penalty against the company’s sole director Gregory Michael Matthew.
The penalties were imposed in response to Bean Away failing to comply with a Compliance Notice requiring it to back-pay entitlements to a worker it employed as a store manager between February 2019 and March 2021. Mr Matthew was involved in the contravention.
Bean Away back-paid the worker the entitlements owing to her only after the Fair Work Ombudsman commenced legal action.
Fair Work Ombudsman Sandra Parker said business operators that fail to act on Compliance Notices need to be aware they can face court-imposed penalties on top of having to back-pay workers.
“When Compliance Notices are not followed, we are prepared to take legal action to ensure workers receive their lawful entitlements,” Ms Parker said.
“Employers also need to be aware that taking action to improve compliance in the fast food, restaurant and café sector continues to be a for the FWO. Any employees with concerns about their pay or entitlements should contact us for free advice and assistance.”
The FWO investigated after receiving a request for assistance from the affected worker.
The Compliance Notice was issued in September 2021 after a Fair Work Inspector formed a belief that the worker had not been paid her full payment-in-lieu-of-notice-of-termination entitlements, as required under the Fair Work Act’s ³Ô¹ÏÍøÕ¾ Employment Standards.
Judge Salvatore Vasta found that there was a need to “strike a balance to deter the nonchalant and dismissive behaviour of the Respondents without imposing an oppressive penalty”.
“Deterrence, both specific and general, looms large in this matter,” Judge Vasta said.
