Upper Coomera Pizza Hut employee underpaid $6200
A GOLD Coast Pizza Hut store owner has been fined more than $200,000 for exploiting his delivery driver with a sham contract and misleading the Fair Work Ombudsman.
Dong Zhao, who operates an Upper Coomera Pizza Hut franchise, was fined $36,7000 while his company, Skyter Trade Pty Ltd, was penalised $180,000.
Former employee, Indian national Humit Vijan, was underpaid $6228.41 after he began working at the store as a delivery driver on November 15, 2016.
The Federal Circuit Court heard that Mr Vijan was paid a flat rate of $12 plus $2 extra per delivery fee, which was later negotiated to $15 an hour.
He should have been paid $20.36 for ordinary hours and $40.72 for overtime and public holiday work under Pizza Hut’s enterprise agreement.
The court also heard that Mr Zhao failed to give Mr Vijan any pay slips during his six-month stint, did not pay any superannuation and treated him as an independent contractor rather than an employee.
He was also underpaid a per-delivery entitlement and a uniform allowance. Mr Vijan has now been paid back in full.
The court also found tMr Zhao actively misled the Fair Work Ombudsman to cover up his wrongdoings, including providing false rosters to inspectors.
Judge Michael Jarrett said the sham contracting breach was serious and would have impacted Mr Vijan’s financial position adversely.
“(Mr Vijan’s) evidence was that he was constantly anxious and stressed about (his family’s) low bank balance and at times felt depressed and humiliated,” he said.