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Cafe operators face court over $29,000 migrant worker underpayment

The Fair Work Ombudsman is suing two cafe companies and director Rachel Lee over $29,193 in underpaid entitlements to seven migrant workers.

Two Newcastle Oliver Brown cafes allegedly underpaid seven visa-holding workers from October 2023 to July last year. The workers were mostly casual wait staff from countries including Korea and France and were owed minimum wages, casual loadings, overtime and penalty rates.

One worker alone was allegedly short $14,852. The Fair Work Ombudsman issued compliance notices in February.

But the companies and their director Rachel Lee allegedly failed to pay the workers back. The regulator is seeking penalties of up to $99,000 for the companies.

It is seeking up to $19,800 per breach for Lee. They also want orders for full backpay, interest and superannuation.

A direction hearing is scheduled in the Federal Circuit and Family Court in Sydney in November.

$29,193
Total underpaid
$14,852
Single worker owed
7 visa-holders
Workers affected
Newcastle, two cafes
Locations

Why it mattersVisa holders often don't know their rights or fear complaining to employers. This case shows the Fair Work Ombudsman is treating migrant worker breaches seriously and will take legal action.

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