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Home / Business / Economy / Employment

Indian restaurant chef awarded $32k in unpaid wages

NZME.
25 Jun, 2015 03:05 AM3 mins to read

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The chef successfully argued he was massively underpaid, having received about $1800 a month, some $660 less than he should have. File photo / Thinkstock

The chef successfully argued he was massively underpaid, having received about $1800 a month, some $660 less than he should have. File photo / Thinkstock

A chef at an Indian restaurant in a South Island tourist hot spot has been awarded about $32,000 in unpaid wages and compensation over a spicy employment dispute.

The former company behind the restaurant must also pay the Crown $10,000 in penalties - a total bill of $42,266.

The Employment Relations Authority judgment, released this week, is against Abhisek Quality Foods, which until March traded as the Bombay Palace Indian Resteraunt in Wanaka.

Authority member David Appleton ordered the company to pay former tandoor and curry chef Mohammad Irfam Ali $21,305 for unpaid wages, $5962 in holiday pay and $5000 compensation for his personal grievance in not being paid.

Mr Ali worked for the restaurant between October 2011 and December 2013 for up to 60 hours a week. He successfully argued at an authority hearing he was massively underpaid during this time, having received about $1800 a month, some $660 less than he should have.

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"His evidence to the authority was that he is brought to tears that he could not provide for his wife and family the way he should because he was not paid his halal (good) money for working hard," Mr Appleton said.

Mr Ali's advocate asked the authority for $5000 compensation, but Mr Appleton said he could have asked for more.

"The failure to pay Mr Ali was sustained, and the effect on him was certainly not trivial or minor, and I would have been prepared to have awarded close to twice this sum. However, I limit compensation to the sum of $5000 as requested."

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In a written response the company alleged Mr Ali misappropriated money and had agreed to repay it, something Mr Ali "strenuously denied".

Mr Appleton dimissed this counter-claim because nobody from the company, including director Ramesh Rajagopal, turned up to the authority hearing.

The allegations arose from a shortfall in takings while Mr Rajagopal was on holiday. He accused Mr Ali of not charging some people for beer or wine and unsuccessfully tried to get him to sign a letter saying the money would come out of outstanding wages owed when he resigned.

Police looked into the matter but didn't take any action.

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Mr Rajagopal today answered the restaurant's phone but referred NZME. News Service to the company's former lawyer Paul McBride for comment.

"Because the company ceased trading and operating some time ago the company did not defend the case and provided no input and sees the decision as purely academic," he said.

Asked if that meant Mr Ali would not be paid, Mr McBride said: "The position is, as Mr Ali and his representative were told many many months ago, the company had ceased trading and has no assets."

The company did not accept the finding but did not take any steps to defend it because it couldn't afford to, Mr McBride said.

"It would be surprising if somebody took a case to court [and] the court hears only one side of the story if they didn't win."

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