Employer in trouble again for failing to pay staff

Wednesday, 30 August 2017

The owner of failed Indian restaurant Urban Turban, who paid below minimum wage, has been caught out again.

The owner of an Auckland restaurant who did not pay minimum wages is in trouble again after failing to pay someone for three months' work.

Earlier this year, Urban Turban was pinged for paying its manager almost $2 below the minimum wage for one year.

The authority said the dismissal was unfair and the worker was owed money.

Now, the owner of the restaurant has been ordered to pay more than $30,000 to an employee of his financial services business, which was allegedly 'going towards bankruptcy'.

Sergio Belliard was employed by Adison Group (AGL) as its chief financial adviser.

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This company provided services to Urban Turban, and both businesses were owned by Bhushan Arolkar.

Arolkar's latest employment dispute arose after Belliard was made redundant and claimed he had not received wages for three months.

Arolkar emailed Belliard to tell him he could not afford to pay his wages.

'… we cannot afford Adison payment, we discussed this, your work is only Urban Turban now. No other work for Adison Group.'

Despite the email, Belliard said Arolkar instructed him to continue working for AGL, and a month later he was sacked.

The ERA said this dismissal was unfair as Arolkar did not meet with Belliard to discuss the redundancy before making the decision.

After being made redundant, he told Arolkar: 'I don't know why I am still here worrying for free for a business that is going towards bankruptcy…I'm completely burnt out: financially, physically and mentally.'

Belliard has been awarded $31,660; $21,660 for lost wages and holiday pay and $10,000 for humiliation.

In June this year, Urban Turban was penalised for multiple breaches of employment agreement for the worker it underpaid for one year.

The breaches included reducing hours without consultation and failing to pay his final week's salary and holiday pay.

Urban Turban was ordered to pay about $40,000 to cover the breaches, wage and holiday pay arrears and for the distress the worker suffered.