Photo: No 1 China Restaurant/Facebook
The owner of a liquidated Taupō Chinese restaurant has been ordered to pay a former employee $43,000 after he was paid less than the minimum wage and didn't receive public holiday entitlements.
The Employment Relations Authority also found New Zealand LJ Food Express Taupō Limited, which traded as No 1 China Restaurant, did not pay the employee his annual leave when he stopped working at the restaurant.
The employee worked at the restaurant from March 2019 until May 2021.
The business went into liquidation in November 2022.
The owner of the company, Xian Zeng, was named as the person liable to pay, the Ministry of Business Innovation and Employment (Mbie) said in a statement.
The Labour Inspectorate investigated following a complaint and found breaches in minimum employment standards including that the employee worked around 52.5 hours per week but was only paid for 40, and he had worked 23 public holidays but did not get the correct entitlements.
Authority member Shane Kinley ordered Zeng to pay the employee $40,421 in wages arrears and a penalty of $12,000, $3000 of which is to be paid to the employee.
Zeng was also ordered to pay costs of $2250 and disbursements of $1671.20, as well as interest on the total amount until it was paid.
Head of the Labour Inspectorate Simon Humphries said owners of businesses where workers were exploited should not escape sanctions, even when the business was no longer operating.
"In this case, the employer knowingly paid the employee less than the minimum wage for a sustained period, while there were also several other breaches in minimum employment standards which impacted the employee.
"While we prefer to support employers to ensure they comply with employment law, the Inspectorate will not hesitate to take enforcement action against those who take advantage of vulnerable workers."