Contractor stung for breach again
‘‘Once bitten, twice shy’’ seemingly does not apply to a Marlborough vineyard contracting company stung for the same employment breach twice in two years.
The Employment Relations Authority (ERA) has penalised KRSVP Limited $25,000 after a Labour Inspectorate investigation found it was not keeping proper employment records.
The company was first penalised in November 2015, when it was ordered to pay $7500 for not keeping proper time and wage records, or individual employment contracts.
Labour Inspectorate regional manager Kevin Finnegan said KRSVP would have been well aware of its obligations and it was extraordinarily disappointing it had failed to meet them.
‘‘Keeping employment records is important for proving employees are being provided with all their entitlements, such as the minimum wage.’’
Finnegan said the fact KRSVP had been stung twice for the same offence suggested some vineyard owners were not seeking assurance their contractors were compliant with employment law.
‘‘Without seeking such assurances vineyard owners won’t know whether those picking and pruning their vines are receiving their entitlements, putting the reputation of the industry at risk.’’
The Labour Inspectorate contacted KRSVP requesting employment records in July. It took seven months for its director and sole shareholder, Sanjhe Prasad, to provide any documents. They were found to be ‘‘wholly inadequate wage and time records that did not comply with the law’’.
When the company was investigated in 2015, it was operating under the name S & LJ Prasad. Prasad said at the time that he was going out of business.
When the case was brought to the ERA, it deemed the name change meant the business was still active and was unlikely to go into liquidation.
Along with the most recent penalty, KRSVP was stood down from recruiting migrant labour for 18 months.
The stand-down period was enforced under a new policy announced by Immigration Minister Michael Woodhouse in February, which came into effect on April 1.
At the time, Woodhouse said access to the international labour market was a ‘‘privilege, not a right’’.
A Ministry of Business, Innovation and Employment spokesman said KRSVP was not the first company to have its recruiting rights suspended under the policy.