FunTea bubble tea store at the centre of alleged wage theft has been placed into liquidation

An Adelaide bubble tea store chain has been placed into liquidation – sparking fears workers who were allegedly victim to wage theft will be left out of pocket.

An Adelaide bubble tea store chain at the centre of a Fair Work Ombudsman investigation into alleged wage theft has gone into liquidation, sparking fears its unpaid workforce will be left thousands of dollars out of pocket.

Yuxuan Group, which operated FunTea stores on Gouger St, York St and Rundle Mall placed the company into liquidation on November 19.

FunTea Gouger St, Adelaide. Picture: NCA NewsWire /Brenton Edwards

A video of a man slapping a woman who claimed to have confronted her boss about being underpaid went viral on social media, and sparked multiple protests on wage theft in the CBD.

Lei “Gavin” Guo pleaded guilty to assaulting the woman in June and was convicted but spared jail.

The Fair Work Ombudsman launched legal action against the store chains in September, for allegedly ripping off 20 workers nearly $187,000.

Since that action commenced, SA Unions secretary Dale Beasley said several workers continued to report having not received wages, some for up to seven weeks.

A large crowd gathered on Moonta Street, Chinatown, Central Markets for a rally/protest regarding the wage theft and assault on a worker. Picture: Tricia Watkinson

“Workers also report being paid part time hourly-rates despite being casual employees and entitled to a casual loading,” Mr Beasley said.

He feared company assets sold in the liquidation would not cover what workers were owed.

“These FunTea employees are the latest victims of profitable wage theft business model, which has spread throughout many South Australian workplaces,” he said.

“We need immediate and serious action on wage theft here in South Australia … And once and for all we need to make it a criminal offence for an employer to dishonestly, deliberately and systematically steal the wages of an employee.”

The chain’s director, Yang Su was allegedly paying flat rates as low as $10 an hour.

Employees were also underpaid penalty rate for evenings, weekends, public holidays and overtime work as well as superannuation, a statement of claim filed in the Federal Court claimed.

It was also alleged staff were not allowed meal breaks or the minimum engagement requirements meaning their rostered shifts were too short.

Several of the workers were visa holders including international students.