A Timaru restaurant owner has been ordered to pay more than $100,000 to a former employee after the Employment Relations Authority (ERA) found she unlawfully charged him for a job and breached multiple employment standards.
In a decision released on Tuesday, the ERA ruled in favour of Akashdeep Singh, who said Bhupinder Kaur, manager of Jaslyn Co Ltd, demanded $60,000 from him in India in exchange for securing a restaurant manager role in New Zealand.
Singh told the ERA that Kaur instructed him to make several transfers to her friend, her sister-in-law, and her father, claiming the money was required to cover visa costs. After arriving in New Zealand, Singh worked not as a manager but as a kitchen hand for Jaslyn Co Ltd, The Press reported.
Kaur denied demanding the money, saying only $6000 was a visa-related payment and the rest covered debts or currency exchange. ERA member Peter van Keulen did not accept her explanation, saying Singh’s evidence was consistent and credible, while Kaur’s lacked supporting documents and clarity, as reported by The Press.
Singh began working at Kebab King in Ōamaru in July 2023. When the business was sold four months later, he was moved to Ariana Enterprises Ltd, another company operated by Kaur, which runs two Turkish kebab outlets in Timaru.
Singh said he was given irregular hours, sometimes below the guaranteed 30 hours per week, and was not properly paid for public holidays. He also claimed he was unjustifiably dismissed.
Kaur argued he had been paid correctly and said the business could not afford his contracted wage of $29.66 per hour, so they had agreed he would be paid the minimum wage instead. The ERA rejected this, finding Singh’s record of hours and entitlements to be accurate, The Press reported.
Ariana Enterprises terminated Singh’s employment after selling one of its restaurants, but the ERA found the company failed to properly consult him before dismissal.
“Ariana Enterprises acted unjustifiably,” van Keulen said, adding that the decision caused a disadvantage to Singh, as quoted The Press.
He found that Kaur was directly involved in the breaches at both Jaslyn Co and Ariana Enterprises, saying she was responsible for key decisions regarding Singh’s work and pay.
The ERA ordered Kaur to personally repay the $60,000 unlawful premium. Ariana Enterprises must also pay Singh:
$16,000 in compensation for unjustified dismissal
$1,614.86 (net) in wage arrears
$29,688.08 (gross) in further underpayments
Jaslyn Co Ltd was ordered to pay an additional $2,596.99 (net) and $7,857.95 (gross) for unpaid wages and holiday pay.
Van Keulen noted that if either company fails to pay, Singh may apply for Kaur to be held personally liable due to her involvement.
Kaur is the sole director and shareholder of Ariana Enterprises. Singh withdrew a separate application involving another individual.
The authority encouraged both parties to resolve costs privately.