A South Australian nail salon which was fined earlier month for underpaying two migrant workers is an “appalling” case of migrant worker exploitation, the Fair Work Ombudsman says.
Nail salon owner Minh Gia Le received a penalty of $30,000 and his business, House of Polish Central Pty Ltd, a further $100,000, after legal action from the Fair Work Ombudsman. The business provided beauty industry services including manicures and pedicures.
Speaking to SBS News this week, Fair Work Ombudsman Natalie James said it was an “appalling” case of worker exploitation.
“It’s appalling when we see people who are running a business who are recent arrivals to Australia themselves, exploiting very vulnerable workers who are on a visa,” she said.
Ms James said the workers were paid $12 an hour, well under what they were entitled to as casual employees.
WAGE THEFT ‘RAMPANT’
Migrant workers who are on visas and working in the hospitality and retail sectors are particularly at risk, said Ms James.
“We certainly have had a number of cases involving workers in beauty salons and massage parlours, often people who are on visas, and who are very much open to exploitation,” she said.
“More than half the cases we have taken to court over the last five years have involved a visa worker, and that really is quite remarkable when you consider visa workers are only six per cent of the labour market.”
Lawrence Ben from the Shop, Distributive and Allied Employees Union, said increasing numbers of wage theft cases are being reported in Australia.
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