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FWO pursues legal action against Crust franchisee

The Fair Work Ombudsman (FWO) has taken a Melbourne-based Crust Gourmet Pizza Bar franchisee to court after finding that the branch has been underpaying seven of its employees. A total of $35,725 in wages was not given to the said workers.

Pizza worker

The FWO is taking a Crust Pizza franchisee to court over allegations of unpaid wages. Source: Thames & Hudson

The branch, located in Cheltenham, is owned by Desire Food and partly owned by the director, Chern Ming “Rick” Lee.

Allegations of mismanagement were brought to the FWO’s attention by an employee who says that the franchisee has failed to pay minimum hourly rates, give annual leave entitlements and casual loadings, as well as penalty rates and special clothing allowances.

According to Fair Work Ombudsman Sandra Parker, “It is a priority for the Fair Work Ombudsman to ensure that fast food, restaurant and cafe workers receive their correct wages and entitlements. Improving workplace compliance across the sector will help to eliminate the unfair competitive advantage gained by employers who underpay staff.”

Currently, Desire Food Pty Ltd may end up paying penalties of up to $63,000, while it may cost Mr Lee $12,600.

For more information on the said case and FWO, visit the Fair Work Ombudsman.

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Source: Fair Work Ombudsman




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