Fair Work Ombudsman
Citation: FWO-2023-12-07-fun-tea-penalty-media-release
At a glance
- Respondent
- Yuxuan Group
- Penalty
- $7,992
- Employees affected
- 20
What happened
The Fair Work Ombudsman secured a penalty against Yang Su, a former director of Yuxuan Group Pty Ltd, which previously operated three 'Fun Tea' bubble tea outlets in Adelaide. The company breached record-keeping and pay slip provisions of the Fair Work Act. Twenty fast food workers, mostly visa holders including international students, were affected between July 2019 and February 2021. While the company went into liquidation, preventing penalties against the company itself, some workers received $50,897 in back pay. The investigation began following public allegations of compliance issues.
What was decided
The Federal Circuit and Family Court imposed a $7,992 penalty against Yang Su. The court found Ms Su was involved in the company's failure to issue pay slips and maintain proper records regarding employee hours and employment status. The judge noted her explanations for the non-compliance were not persuasive. The decision emphasizes the importance of record-keeping and pay slip obligations under Australian workplace laws, particularly for employers and company directors. The Fair Work Ombudsman has secured $15 million in penalties in visa holder litigations since 2017.
What it means for employers
Employers, especially those in the fast food, restaurant, and café sectors, must ensure compliance with record-keeping and pay slip requirements. Directors and managers can be held personally liable for breaches. Visa holder workers are a priority for the Fair Work Ombudsman, and failing to comply with workplace laws can result in significant penalties.
What it means for employees
Employees, particularly visa holders, should seek free advice and assistance from the Fair Work Ombudsman if they have concerns about their pay or entitlements. Employers have a positive obligation to provide pay slips and keep proper records.
Every statement above is drawn from the published decision. Read the original here:
https://www.fairwork.gov.au/newsroom/media-releases/2023-media-releases/december-2023/20231207-fun-tea-penalty-media-releaseWant more cases like this?
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This summary was drafted by AI 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 →