Given the difference between employees and independent contractors, getting the employee classified correctly in the first place is hugely i...
UnderpaymentsSeptember 6, 2016
A Marlborough labour contractor has been fined $16,000 after he was found to be deliberately doctoring time sheets to hide underpayments.
A Labour Inspectorate inspector visited Sione Uasi, the owner of contracting company Jkava Temping Solutions, after receiving a complaint from one of the workers. They found Uasi was using timesheets for his 50 workers, many of whom were migrants, without the workers recording a finishing time.
The workers would clock in to work, but Uasi would later enter finishing times for them which were less than the hours they actually worked. In addition, sometimes workers would work certain days which were not recorded.
The Labour inspector discovered Uasi owed 22 workers approximately $2,479, however, due to his failure to keep proper records the Employment Relations Authority (ERA) determination noted the breach could have been more widespread.
This follows a joint investigation early last week between the Labour Inspectorate, Immigration New Zealand and Inland Revenue who discovered widespread non-compliance amongst contractors in Marlborough vineyards.
The operation visited 10 independent contractors and found that two were not paying the correct minimum wage, holiday pay and were not meeting their record keeping requirements. Another seven contractors were asked to provide additional records for review. Of the 10 contractors, only one was found to be compliant.
Labour Inspectorate Regional Manager, Kevin Finnegan, states this highlights the importance of industries taking action to ensure the contractors they are using are meeting employment standards.
Employsure is a workplace relations specialist, who is here to assist with ensuring all employers and business owners are meeting the correct employment obligations. If you would like to review your wage rates, call Employsure today on 0800 675 700.
Sourced via Ministry of Business, Innovation and Employment and NZFarmer.Co.NZ