Lower Hutt restaurant guilty of exploiting migrant workers for $72k

A Lower Hutt restaurant has been found guilty of exploiting migrant workers by underpaying $72,000 over several years.

The restaurant, which has interim name suppression, was found guilty in the Wellington District Court on two representative charges under the Immigration Act 2009 for exploiting two Indian workers on temporary visas.

The pair regularly worked up to nine hours per day, six days a week, while being paid for far fewer hours, the Ministry of Business, Innovation and Employment (MBIE) said.

The agency’s national investigations manager Jason Perry said more than $72,000 in arrears was owed “demonstrating the extent and seriousness of the exploitation”.

The figure was made up of unpaid minimum wage entitlements, unpaid holiday pay, alternative holidays, sick leave, and other statutory entitlements.

One was paid for 36.5 hours per week, despite often working close to 54.

“Employers are solely responsible for meeting visa‑related pay requirements and must never pass those costs on to workers,” Perry said.

“Exploitation is not a business model, it is unlawful, harmful, and taken seriously.

“When workers are underpaid or pressured, the consequences go beyond the immediate harm to individuals. Exploitation undercuts compliant employers, distorts fair competition, and weakens confidence in the wider immigration system.”

The investigation began after the two workers spoke out about their mistreatment at work, and the restaurant pleaded guilty to the charges.

The company has now been fined $90,000.

Prior to sentencing, a reparation order was made for $46,574.74 to be paid to the victims via the court and $25,926.47 to be paid to Inland Revenue Department.

At sentencing, the court ordered further reparation of $9361.66.