Graduate forced to pay $90k for job

A Chinese graduate desperate to apply for New Zealand residency was made to pay $90,000 to his employer for a job, the Employment Relations Authority has heard.

Chuan Wang, a Chinese national who had graduated from University of Waikato was seeking residency after the conclusion of his study, and had applied for more than 300 jobs, the authority said.

He eventually found work with a food importing business owned by Sonia Yangyang Gill, who asked Wang to pay her $90,000 in exchange for the job.

This week the authority ordered Gill to pay $97,000 in reimbursements and legal fees to Wang.

Wang began working for New Zealand Qiang Sheng Trading Ltd, owned by Gill, in May 2020.

The $90,000 was paid to Gill over the course of several weeks from the accounts of Wang’s mother and girlfriend.

The contract was written in

Mandarin and was illegal in New Zealand. Under the Wages Protection Act, no employer can demand payment in exchange for employment.

Wang worked for Gill for six months as an accountant, before their relationship soured when he discovered Gill was evading company tax.

The authority also heard from Gill’s former accountant, who confirmed Gill was evading tax, and had been investigated and penalised by Inland Revenue in the past.

Wang raised the issue of company tax evasion with Gill, because he was concerned this would affect his residency application. Wang made a partial audio recording of the conversation.

During the conversation Gill become angry, and attempted to force her own company’s tax obligations onto Wang.

The authority heard a portion of a recording in which Gill told Wang that ‘‘others have to pay [tax] for themselves if they want to get immigration support [from their employer].’’

She told him to either pay the company’s tax bill from his own wages or be out of a job. Wang refused to do this and was subsequently fired.

Wang asked that Gill repay the $90,000.

Gill said she would consider a ‘‘partial repayment’’ of $22,253, if Wang deleted the incriminating recording of her. Wang did not accept, and filed a personal grievance with the authority.

Gill did not attend the hearing but filed a statement which disputed Wang’s allegations.

Authority member Rachel

Larmer said Gill’s breaches of employment law were ‘‘exactly the type of conduct that needs to be punished’’.

The authority found Wang’s claims were sound – based on the audio recording of Gill and messages sent via Chinese social media platform WeChat, and the written employment contract.

The authority found the $90,000 received by Gill must be paid back to Wang within 28 days, plus interest of $2000.

The authority also ordered Gill to pay Wang $5321.56 for legal costs.

Wang asked that Gill repay the $90,000. Gill said she would consider a ‘‘partial repayment’’ of $22,253, if Wang deleted the incriminating recording of her.