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High St hotspot accused of underpaying workers by ombudsman

Owners of a High St hospitality hotspot have been accused of underpaying 73 workers more than $180,000. Allegations include short-changing one worker of $12,315 and not allocating shifts to another because they asked for the correct wages.

Owners of Barry in High St, Northcote have been accused of underpaying workers.
Owners of Barry in High St, Northcote have been accused of underpaying workers.

The owners of a popular High St cafe have been accused of underpaying 73 workers $180,660, with one short-changed $12,315.

The Fair Work Ombudsman announced they have commenced legal action against siblings Stavros and Anastasia Petroulias, owners and directors of Malevi Pty Ltd, which owns the Barry cafe in Northcote.

The ombudsman will allege employees were paid flat rates of $18 to $23 an hour, resulting in underpayments of hourly rates, casual loadings, overtime and penalty rates for weekend and public holidays.

Workers, union members and supporters marched against the cafe in April last year.
Workers, union members and supporters marched against the cafe in April last year.

The ombudsman will also allege the company and directors took unlawful action against one employee by not allocating shifts to him because he asked about wages he was owed.

In total, the company has allegedly underpaid workers $180,660 between April 2017 and 2018, including visa holders and young workers.

Alleged individual underpayments range from $31 to $12,315.

Fair Work Ombudsman Sandra Parker said enforcing laws in the hospitality industry was a priority for the organisation.

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“We also treat very seriously allegations of employers taking any sort of action against an employee in response to an employee simply seeking to have their lawful workplace rights respected,” she said.

The ombudsman will seek a court order requiring the full back payment of any employees.

Mr and Ms Petroulias each face penalties of up to $12,600 per violation and Malevi Pty Ltd up to $63,000 per violation if found guilty.

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The ombudsman is also seeking orders to require Malevi Pty Ltd to commission an independent wage audit and other recommended practices.

A directions hearing has been listed in the Federal Circuit Court on October 16.

For information on your workplace and pay rights visit the Fair Work website.

The owners of Barry Cafe declined to comment.

richard.pearce@news.com.au

@richardapearce

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Original URL: https://www.heraldsun.com.au/leader/north/high-st-hotspot-accused-of-underpaying-workers-by-ombudsman/news-story/54dfe943c6ab385e12d74e9564178c67