The Red Rooster underpayment saga continues

Recently an investigation into the underpayment of workers from 7 Red Rooster stores revealed that not only were migrant workers being underpaid but threatened with deportation should they complain about their pay. This is yet again a very naive and sad state of affairs when business owners stoop so low yet think they can avoid the system. Red Rooster CEO Chris Green has reported that the franchise agreements of those under investigation have been terminated as a result, but what else could Red Rooster have done to ensure that franchisees are not behaving in this manner? Plenty I would imaging especially as Red Rooster head office themselves were reprimanded by the Fair Work Ombudsman five years ago for similar underpayment practices totaling in excess of $650,000. The Fair Work Commission regularly audits businesses and targets industries in a bid to stamp out the underpayment of employees. Employees can also directly report any indication of an underpayment of wages, which will often trigger an audit of the employer for which the employee works. If employers are unsure of their minimum wage requirements for their employees or are having trouble interpreting Awards, yes we know they are tricky, then please contact us for an obligation free consultation.