Home /  News /  Immigration

Auckland workers say restaurant liquidated without paying wage

Auckland workers say restaurant liquidated without paying wage
Representational image

A migrant worker from Fiji who came to New Zealand as a kitchen hand to work at an Auckland restaurant says she is now without a job and back in her home country. A work exploitation case she and her colleagues filed against their former employer stands closed.

Ms A (name withheld), along with four colleagues, filed a worker exploitation complaint alleging weeks of unpaid wages. She alleged over $43,000 of unpaid wages to her. According to one of the other employees, the claims alleged prolonged breaches of New Zealand employment and poor accommodation arrangements. A third employee alleged 33 weeks of unpaid wages.

The case was closed due to a combination of factors, including that the companies was no longer operating, one director was living offshore and outside the Inspectorate’s jurisdiction, and the remaining director had been adjudicated bankrupt in 2025.

The Ministry of Business, Innovation and Employment (MBIE) said all allegations of exploitation are taken “extremely seriously” and decisions to withdraw proceedings are “not taken lightly”.

However, in this case, “there was a low likelihood of recovering arrears or penalties, and continuing the case was not considered to be in the public interest,” Simon Humphries, Head of the Labour Inspectorate, told The Indian Weekender.

The case has since been withdrawn by Inspectorate.

Allegations over unpaid wages

Ms A, who arrived in New Zealand from Fiji in 2023, said she had been offered work by her cousin’s daughter, who operated the Auckland restaurant business with her husband.

“They were looking for people [in Fiji] and she (cousin’s daughter) offered me a job, and I agreed,” Ms A claimed.

Ms A alleged that she and three other colleagues were contracted to work 30 hours a week while employed at the Auckland restaurant.

“But we were working for 60 hours, normally, and paid for only 30 hours,” she claimed.

The workers later filed a worker exploitation complaint against the restaurant in November 2023.

“Every week we used to ask for the pay, but every time I asked, they [restaurant management] used to shift me to night shift at another branch in Auckland itself,” Ms A said.

She said the employees repeatedly attempted to remind management about the unpaid wages before eventually filing an official complaint.

“We told them that we would complain, to which they said they’ll terminate our contract,” Ms A said.

According to Ms A, the group filed a complaint with MBIE in December 2023. In January 2024, she received a six-month Migrant Exploitation Protection Work Visa (MEPV).

Workers describe accommodation conditions

Another employee, Mr B (name withheld), who also spoke to The Indian Weekender, said he arrived in New Zealand from the Philippines in March 2023.

“For two months straight I didn't get paid,” Mr B said.

“I worked from 2 pm until 2-3 am in the morning since we were just sleeping in the back area of the restaurant,” Mr B told The Indian  Weekender.

A photo shared by Mr B showed a room with an airbed attached to the back area of the restaurant, where he said he and two other male colleagues lived for three months.

Mr B claimed over 13 weeks of unpaid wages and four weeks of unpaid leave. 

One of the other employees (apart from Ms A and Mr B) claimed he was owed 33 weeks of unpaid wage.

Mr B also shared that to those who shared the room used to go to CityFitness gym for showers as the room only had toilet facility at the back of the restaurant. 

Mr C (name withheld), a third employee said who lived with Mr B and another male colleague in the same room and slept on a an air mattress for a while, and that "venturing out to go to the gym for a shower could also be sometimes dangerous". 

Mr C claimed, who arrived in New Zealand in September 2022, has claimed 19 weeks of unpaid wages by the company.

"They sometimes said payment will be made on a Monday, Sunday and sometimes it never arrived," he claimed

Mr B also shared conversations with his employer in which he repeatedly asked for his salary to be paid.

After repeated requests, Mr B claimed the employer instead sent him on leave with pay, but alleged he was still not paid for that leave.

“The labor inspector messaged us that they are closing the case because the employer filed bankruptcy and went into liquidation and got no assets left,” Mr B told The Indian Weekender.

MBIE explains closure of proceedings

Simon Humphries, Head of the Labour Inspectorate, told The Indian Weekender that the initial complaints were received on 1 November 2023.

The matter was then referred to the Labour Inspectorate’s Migrant Exploitation team, which conducted a “thorough investigation into allegations of exploitation".

“The complainants alleged they had not been paid for all hours worked and had not received sick leave payments to which they were entitled.”

Following its investigation, the Labour Inspectorate initiated proceedings in the Employment Relations Authority (ERA) seeking arrears and penalties.

Humphries said that while employment issues had been identified, the employer did not formally admit to any legal breaches.

“Following its investigation, the Inspectorate initiated proceedings in the Employment Relations Authority (ERA) seeking arrears and penalties. While employment issues were identified, the employer did not formally admit to any legal breaches,” Humphries said.

Two of the four colleagues who spoke with The Indian Weekender said all four workers were not privy to the mediation between the parties but received updates. But the former employees say that it they were not satisfied with the withdrawal of the case.

The Labour Inspectorate said that as part of the process, the ERA directed the Labour Inspectorate to attend mediation, and where matters are referred to mediation, attendance is generally limited to the parties involved in the claim.

“In this case the parties were the Labour Inspector as the applicant and five named respondents being the two directors and their companies.”

Humphries said matters discussed during mediation are confidential. He added that while formal documents resulting from mediation, such as a Record of Settlement, are not normally subject to confidentiality if the Labour Inspectorate is a party, there was no formal mediated outcome in this case.

“There was no formal mediated outcome in this case, and no admissions of breaches arose from the mediation process,” Humphries said.

The Labour Inspectorate later withdrew proceedings, citing multiple factors.

“After the investigation, the Inspectorate ultimately withdrew the proceedings due to a combination of factors, including that the companies were no longer operating, one director was living offshore and outside the Inspectorate’s jurisdiction, and the remaining director had been adjudicated bankrupt,” Humphries said.

Return to Fiji

Ms A was the only one among the four employees who had to leave New Zealand after her Migrant Exploitation Protection Work Visa and interim visa expired. She returned to Fiji in March 2025.

The remaining three workers are now employed under Accredited Employer Work Visas.

“I was looking for an Accredited Employer to sponsor my visa, but couldn't get it,” Ms A said.

According to Ms A, the last job she held after receiving her MEPV was with an employer who was not accredited, which eventually resulted in her having to return to Fiji.

While the Inspectorate withdrew its case, the affected individuals may still seek independent advice and pursue their own claims through the ERA if they choose to do so,” Humphries further explained.

While three of the four workers have since found new employers, they continue to raise questions about the amount of work and labour they put in without receiving what they say they were owed.

This article has been updated to add accounts
of one other employees, Mr C.

A migrant worker from Fiji who came to New Zealand as a kitchen hand to work at an Auckland restaurant says she is now without a job and back in her home country. A work exploitation case she and her colleagues filed against their former employer stands closed.

Ms A (name withheld), along with...

Leave a Comment

Related Posts