Fair Work Ombudsman
Citation: FWO-2022-10-07-rika-foods-penalty-media-release
At a glance
- Respondent
- Rika Foods North Melbourne Pty Ltd
- Penalty
- $11,988
- Employees affected
- 1
- Awards cited
- MA000037
What happened
Rika Foods North Melbourne Pty Ltd, a juice and coffee bar in Collingwood, Melbourne, and its sole director, Radomir Pantovic, failed to comply with a Fair Work Ombudsman Compliance Notice. The notice related to unpaid entitlements for a visa holder from South Korea who was employed casually for a short period in January 2021. The worker had not been paid for approximately 40 hours of work. Rika Foods has since back-paid the worker over $1000. The Fair Work Ombudsman investigated after receiving a request for assistance from the worker.
What was decided
The Federal Circuit and Family Court imposed a $9,990 penalty against Rika Foods and a $1,998 penalty against Radomir Pantovic for failing to comply with the Compliance Notice. The court found the failure was deliberate and intended to deter others. Judge Forbes highlighted the significance of the worker's loss, noting that not being paid at all undermines a vulnerable worker's confidence in future employment. The Fair Work Ombudsman emphasized the importance of complying with Compliance Notices and the priority given to improving compliance in the fast food, restaurant, and café sector.
What it means for employers
Employers must comply with Compliance Notices issued by the Fair Work Ombudsman. Failure to do so can result in significant court-imposed penalties. The Fair Work Ombudsman is actively monitoring the fast food, restaurant, and café sector, and employers should ensure they are meeting their obligations regarding worker entitlements.
What it means for employees
Visa holder workers can seek assistance from the Fair Work Ombudsman without fear of visa repercussions due to the Assurance Protocol. Employees concerned about their pay or entitlements should contact the Fair Work Infoline for free advice and assistance.
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This summary was drafted from the published decision and reviewed before publishing. It is general information, not legal advice. For your specific situation, speak to the Fair Work Ombudsman (13 13 94) or a qualified lawyer. About these summaries & corrections