Fair Work Ombudsman launches wage theft compliance blitz of Sydney restaurants

Cafes in one city have been told to prepare for a huge compliance blitz aimed at stamping out a practice that exploits workers.

Some 50 Sydney eateries will be targeted in a compliance blitz after the industrial watchdog was tipped off to wage theft concerns.

Cafes, restaurants and fast food outlets in the Haymarket, Chinatown, Darling Harbour, Barangaroo, Surry Hills and Darlinghurst precincts have been put on notice to make sure they have been paying staff correctly.

Fair Work Ombudsman inspectors will this week pay surprise visits to popular inner-city dining precincts with a focus on businesses that employ visa holders.

The inspectors will assess compliance with Australian employment laws by speaking with business owners, managers and employees and requesting records.

Fair Work Ombudsman Sandra Parker said the regulator had “received intelligence” – including from anonymous tip-offs – that restaurants in the target areas may be breaching workplace laws.

Chinatown and other inner-Sydney suburbs will be subject to the Fair Work Ombudsman’s compliance blitz.

Cafes, restaurants and fast food outlets will all be targeted. Picture: Toby Zerna

Ms Parker said the information received by the FWO indicated restaurants in these suburbs employed many visa holders who could have limited English skills or understanding of their rights and be vulnerable to exploitation.

“All employees have the same basic workplace entitlements, regardless of nationality and visa status,” she said.

“Protecting vulnerable employees such as visa holders and improving compliance in the fast food, restaurant and cafe sector are ongoing priorities for the FWO.”

Ms Parker promised employers doing the wrong thing by their staff would be held to account, saying the FWO would consider enforcement action where appropriate.

These surprise inspections come as part of a national compliance program that has targeted food precincts across the country and recovered hundreds of thousands of dollars in unpaid wages.

The FWO in December reported it had recovered more than $580,000 from businesses in Hobart and recouped more than $189,000 from businesses in Adelaide’s Chinatown.