Employer to pay $57k for failure of keeping wage and time records

Saturday, 24 June 2017

The authority said the horticultural company had to pay the hefty fine as a deterrent for other employers

A horticultural company has been fined about $57,000 for failing to pay correct wages, and not providing employment and wage records to several employees.

BBS contracts services to horticultural growers, particularly asparagus producers, in Waikato. Davinder Singh is the sole director and shareholder.

A labour inspector found that 16 seasonal workers had not received employment agreements or wage and time records.

It was also found that five of those employees had not been paid correct holiday pay, and one had not received the correct wages either. This was about $1818 in total.

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The Employment Relations Authority ordered BBS to pay fines of $57,120 for failure to retain employment agreements and wage and time records for the employees.

The labour inspector had made a visit four years ago regarding a complaint made that one Indian national and three Fijian nationals had been working in breach of their visitor visa conditions. BBS did not provide employment agreements and pay records and was subject to an improvement notice.

In its determination the authority said the penalty imposed was to act as a deterrent to other employers.

'Employers in New Zealand are expected, especially in this case where BBS was made aware of the compliance requirements by a labour inspector, to know the minimum legal requirements in respect of their employees and adhere to them. Ignorance of the law is no defence.'

'There is a level of vulnerability given the seasonal nature of the work and the fact that the workers predominantly comprise overseas nationals who may be ignorant of their employment rights.'