The District Court has convicted an employer of exploitation of an employee for not paying the minimum wage and for part paying wages in food instead of cash.

The employee was employed on an hourly rate equivalent to the minimum wage, but over the time he worked he was short paid over $17,000.

The Court found that the employer had exploited the employee, who was an immigrant, and that a starting point of 16 months imprisonment was appropriate.  After various discounts, including for it being the employer’s first offence and for an early guilty plea a sentence of five months was imposed.  This was able to be converted into home detention so the employer was sentenced to five months home detention and to pay reparation to the employee of $8,845.  The employer will also be liable to pay the income tax on the short paid wages.

Alan Knowsley
Employment Lawyer