International student says boss told her she would be paid less as a non-Australian

Date
    January 24, 2016
    The Age

A student from Nepal and another from India were underpaid tens of thousands of dollars.

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An international student in Melbourne says her boss told her she would be paid less because she is "not an Aussie", and threatened to cancel her visa if she complained.   :(

The student, 27, from Nepal, and her co-worker from India were exploited and underpaid tens of thousands of dollars while working at a health food store in Melbourne's South Wharf.

As the nation prepares to celebrate Australia Day on Tuesday, the case has become the latest to draw attention to abuse of foreign workers, which the union movement labels a "national shame".

Investigations by the Fair Work Ombudsman have revealed the Nepalese student was paid an illegal flat rate as low as $12 an hour at the takeaway salad and sandwich store Health Express. She said the owner, Jeffrey Herscu, had "made it clear" this was because she was from overseas. 

"When I came for the interview, he said that I will give you the job, but as you are not an Aussie, I will be paying you a lesser amount," the student said in a recorded interview with the Fair Work Ombudsman.   :(

"It was really embarrassing for me ... I had Australian friends who were doing the same kind of work, but were getting paid over $20 an hour."

The student, a casual employee, was short-changed more than $23,500 between September 2013 and March last year.

And the Indian student, 31, was underpaid more than $27,300 after receiving flat rate wages as low as $16 an hour.

Under the fast-food industry award, the pair were entitled to $23 an hour for normal shifts, up to $27 on Saturdays, $32 on Sundays and almost $51 on public holidays.

After intervention by the Fair Work Ombudsman, Mr Herscu's Rapid City Pty Ltd, which runs Health Express, has agreed to back-pay $50,000 to his former employees.

Mr Herscu signed an "enforceable undertaking", seen by Fairfax Media, in which he agreed to apologise for the conduct and make a $5000 donation to the Western Community Legal Centre to help protect the workplace rights of vulnerable employees.

The undertaking to the Fair Work Ombudsman also requires audits of workplace practices for three years and the introduction of programs to train managers about workplace responsibilities.

Fairfax Media has sought comment from Mr Herscu.

Fair Work Ombudsman Natalie James said the agency was working hard to stamp out exploitation, particularly of overseas workers, and build a "culture of compliance" in Australian workplaces.

"It is important that there is a fair, competitive environment for employers who are doing the right thing by creating a level playing field in relation to business costs," she said.

"Employers simply cannot undercut the minimum lawful entitlements of their employees based on what they think the job may be worth, what the employee is happy to accept, what other businesses are paying, or what the job may pay in their country of origin."

Good to see the FW Ombudsman working.

Who needs unions when we've got the FW Ombudsman?

That's fair...

The carnies( circus) would employ backpackers , then tell them to come in morning to collect pay , when they would turn up to collect the circus had already left town. Straight out of the Lib play book.

Its time wrote on Jan 25^th, 2016 at 6:59am:

The carnies( circus) would employ backpackers , then tell them to come in morning to collect pay , when they would turn up to collect the circus had already left town. Straight out of the Lib play book.

Do have a link to this "play book" or do you just "follow the crowd at chow time"? ;D

Quote:

After intervention by the Fair Work Ombudsman, Mr Herscu's Rapid City Pty Ltd, which runs Health Express, has agreed to back-pay $50,000 to his former employees. Mr Herscu signed an "enforceable undertaking", seen by Fairfax Media, in which he agreed to apologise for the conduct and make a $5000 donation to the Western Community Legal Centre to help protect the workplace rights of vulnerable employees.

This is why this abuse is widespread. The penalties are far too light. Just pay them back pay when caught and make a modest donation? That's a slap on the wrist. With such light penalties, we can be sure that this is just scratching the surface.

Fairer penalties should be triple the amount involved as a fine, and 10 times the amount involved for wilful breaches.

Swagman wrote on Jan 25^th, 2016 at 7:02am:

Its time wrote on Jan 25th, 2016 at 6:59am: The carnies( circus) would employ backpackers , then tell them to come in morning to collect pay , when they would turn up to collect the circus had already left town. Straight out of the Lib play book. Do have a link to this "play book" or do you just "follow the crowd at chow time"? ;D

http://www.liberal.org.au/our-policies

Its time wrote on Jan 25^th, 2016 at 7:11am:

Swagman wrote on Jan 25th, 2016 at 7:02am: Its time wrote on Jan 25th, 2016 at 6:59am: The carnies( circus) would employ backpackers , then tell them to come in morning to collect pay , when they would turn up to collect the circus had already left town. Straight out of the Lib play book. Do have a link to this "play book" or do you just "follow the crowd at chow time"? ;D http://www.liberal.org.au/our-policies

Quote the particular policy

Swagman wrote on Jan 25^th, 2016 at 7:13am:

Its time wrote on Jan 25th, 2016 at 7:11am: Swagman wrote on Jan 25th, 2016 at 7:02am: Its time wrote on Jan 25th, 2016 at 6:59am: The carnies( circus) would employ backpackers , then tell them to come in morning to collect pay , when they would turn up to collect the circus had already left town. Straight out of the Lib play book. Do have a link to this "play book" or do you just "follow the crowd at chow time"? ;D http://www.liberal.org.au/our-policies Quote the particular policy

Shouldnt take ya long to find it , it is a Lib party policy page after all  ;D

Mandatory prison terms for blatant transgressions , peoples memories and understanding of the fair work act would come good overnight.

Its time wrote on Jan 25^th, 2016 at 7:16am:

Swagman wrote on Jan 25th, 2016 at 7:13am: Its time wrote on Jan 25th, 2016 at 7:11am: Swagman wrote on Jan 25th, 2016 at 7:02am: Its time wrote on Jan 25th, 2016 at 6:59am: The carnies( circus) would employ backpackers , then tell them to come in morning to collect pay , when they would turn up to collect the circus had already left town. Straight out of the Lib play book. Do have a link to this "play book" or do you just "follow the crowd at chow time"? ;D http://www.liberal.org.au/our-policies Quote the particular policy Shouldnt take ya long to find it , it is a Lib party policy page after all  ;D

No, you made the point, so you back it up.......or or are you telling porky pies perhaps?  :D

Its time wrote on Jan 25^th, 2016 at 7:19am:

Mandatory prison terms for blatant transgressions , peoples memories and understanding of the fair work act would come good overnight.

......yes off to the Gulags with them, ay Comrade  :(

Swagman wrote on Jan 25^th, 2016 at 7:22am:

Its time wrote on Jan 25th, 2016 at 7:16am: Swagman wrote on Jan 25th, 2016 at 7:13am: Its time wrote on Jan 25th, 2016 at 7:11am: Swagman wrote on Jan 25th, 2016 at 7:02am: Its time wrote on Jan 25th, 2016 at 6:59am: The carnies( circus) would employ backpackers , then tell them to come in morning to collect pay , when they would turn up to collect the circus had already left town. Straight out of the Lib play book. Do have a link to this "play book" or do you just "follow the crowd at chow time"? ;D http://www.liberal.org.au/our-policies Quote the particular policy Shouldnt take ya long to find it , it is a Lib party policy page after all  ;D No, you made the point, so you back it up.......or or are you telling porky pies perhaps?  :D

Never let the facts get in the way of a good story , now that is out of lib play book

Its time wrote on Jan 25^th, 2016 at 7:38am:

Never let the facts get in the way of a good story , now that is out of lib play book

.......it's out of your playbook as far as this thread goes anyway  ;D

Its time wrote on Jan 25^th, 2016 at 7:16am:

Swagman wrote on Jan 25th, 2016 at 7:13am: Its time wrote on Jan 25th, 2016 at 7:11am: Swagman wrote on Jan 25th, 2016 at 7:02am: Its time wrote on Jan 25th, 2016 at 6:59am: The carnies( circus) would employ backpackers , then tell them to come in morning to collect pay , when they would turn up to collect the circus had already left town. Straight out of the Lib play book. Do have a link to this "play book" or do you just "follow the crowd at chow time"? ;D http://www.liberal.org.au/our-policies Quote the particular policy Shouldnt take ya long to find it , it is a Lib party policy page after all  ;D

;D ;D ;D ;D ;D

Well done Sir Crook the conscience of OzPolitics.

:)

Well done Sir Crook the conscience Lefty-bot of OzPolitics

......and what's the go here Crook?  Schizophrenia?  ;D

http://i17.photobucket.com/albums/b76/timbo2530/twins.jpg

"She said the owner, Jeffrey Herscu, had "made it clear" this was because she was from overseas."

Bastard.

I hope he goes out of business and ends up homeless.

Swagman wrote on Jan 25^th, 2016 at 8:33am:

Well done Sir Crook the conscience Lefty-bot of OzPolitics ......and what's the go here Crook?  Schizophrenia?  ;D http://i17.photobucket.com/albums/b76/timbo2530/twins.jpg

Let him work it out for himself Sir Crook, he doesnt have much else to do!

;D ;D

He does seem to spend a lot of time on this forum. Maybe the FWO should pop down to Dapto to see that swags employer is getting fair value. :D :D :D

macman wrote on Jan 25^th, 2016 at 9:32am:

He does seem to spend a lot of time on this forum. Maybe the FWO should pop down to Dapto to see that swags employer is getting fair value. :D :D :D

Happy to discuss politics with BSPS anytime as long as they bring their corporate card, maybe over a long lunch and a leisurely 18 at the Grange ....

http://www.smiley-lol.com/smiley/sport/golf/goolf.gif

:)

Bam wrote on Jan 25^th, 2016 at 7:05am:

Quote: After intervention by the Fair Work Ombudsman, Mr Herscu's Rapid City Pty Ltd, which runs Health Express, has agreed to back-pay $50,000 to his former employees. Mr Herscu signed an "enforceable undertaking", seen by Fairfax Media, in which he agreed to apologise for the conduct and make a $5000 donation to the Western Community Legal Centre to help protect the workplace rights of vulnerable employees. This is why this abuse is widespread. The penalties are far too light. Just pay them back pay when caught and make a modest donation? That's a slap on the wrist. With such light penalties, we can be sure that this is just scratching the surface. Fairer penalties should be triple the amount involved as a fine, and 10 times the amount involved for wilful breaches.

No one is going to win if the business goes broke over it.

ian wrote on Jan 25^th, 2016 at 9:48pm:

Bam wrote on Jan 25th, 2016 at 7:05am: Quote: After intervention by the Fair Work Ombudsman, Mr Herscu's Rapid City Pty Ltd, which runs Health Express, has agreed to back-pay $50,000 to his former employees. Mr Herscu signed an "enforceable undertaking", seen by Fairfax Media, in which he agreed to apologise for the conduct and make a $5000 donation to the Western Community Legal Centre to help protect the workplace rights of vulnerable employees. This is why this abuse is widespread. The penalties are far too light. Just pay them back pay when caught and make a modest donation? That's a slap on the wrist. With such light penalties, we can be sure that this is just scratching the surface. Fairer penalties should be triple the amount involved as a fine, and 10 times the amount involved for wilful breaches. No one is going to win if the business goes broke over it.

The business won't go broke by paying the staff properly.

If a business has to underpay staff to break even, that business is in trouble and will be the first against the wall when the next recession comes, if it survives that long.

Badly-run businesses go under all the time. I don't see why we should be propping up bad businesses. If the business is bad, it should be allowed to go under.

Swagman wrote on Jan 25^th, 2016 at 6:52am:

Good to see the FW Ombudsman working. Who needs unions when we've got the FW Ombudsman?

Unions do more than just this...  go look it up yourself.

Businesses that can't manage wages shouldn't be run.  It should replaced by people who do know how to run businesses to a profit.

Otherwise might as well go back to the days of slavery where workers don't get paid at all (except food maybe).

stunspore wrote on Jan 26^th, 2016 at 10:30am:

Otherwise might as well go back to the days of slavery

We're still there Comrade.  It's called progressive taxation.

Bam wrote on Jan 26^th, 2016 at 7:25am:

ian wrote on Jan 25th, 2016 at 9:48pm: Bam wrote on Jan 25th, 2016 at 7:05am: Quote: After intervention by the Fair Work Ombudsman, Mr Herscu's Rapid City Pty Ltd, which runs Health Express, has agreed to back-pay $50,000 to his former employees. Mr Herscu signed an "enforceable undertaking", seen by Fairfax Media, in which he agreed to apologise for the conduct and make a $5000 donation to the Western Community Legal Centre to help protect the workplace rights of vulnerable employees. This is why this abuse is widespread. The penalties are far too light. Just pay them back pay when caught and make a modest donation? That's a slap on the wrist. With such light penalties, we can be sure that this is just scratching the surface. Fairer penalties should be triple the amount involved as a fine, and 10 times the amount involved for wilful breaches. No one is going to win if the business goes broke over it. The business won't go broke by paying the staff properly. If a business has to underpay staff to break even, that business is in trouble and will be the first against the wall when the next recession comes, if it survives that long. Badly-run businesses go under all the time. I don't see why we should be propping up bad businesses. If the business is bad, it should be allowed to go under.

My comment was related to your request for exorbitant penalties , Dufus.

Swagman wrote on Jan 26^th, 2016 at 12:56pm:

stunspore wrote on Jan 26th, 2016 at 10:30am: Otherwise might as well go back to the days of slavery We're still there Comrade.  It's called progressive taxation.

Although you keep saying it, progressive taxation is not slavery.  Slavery has a much tighter definition.  Working rich is much better than working poor - which as a lib supporter I'm sure you  are aiming for the lowly paid workers.

Sorry Swag, at some point another person from your party can surely untwist your twisted logic there about progressive taxation.

ian wrote on Jan 26^th, 2016 at 1:22pm:

Bam wrote on Jan 26th, 2016 at 7:25am: ian wrote on Jan 25th, 2016 at 9:48pm: Bam wrote on Jan 25th, 2016 at 7:05am: Quote: After intervention by the Fair Work Ombudsman, Mr Herscu's Rapid City Pty Ltd, which runs Health Express, has agreed to back-pay $50,000 to his former employees. Mr Herscu signed an "enforceable undertaking", seen by Fairfax Media, in which he agreed to apologise for the conduct and make a $5000 donation to the Western Community Legal Centre to help protect the workplace rights of vulnerable employees. This is why this abuse is widespread. The penalties are far too light. Just pay them back pay when caught and make a modest donation? That's a slap on the wrist. With such light penalties, we can be sure that this is just scratching the surface. Fairer penalties should be triple the amount involved as a fine, and 10 times the amount involved for wilful breaches. No one is going to win if the business goes broke over it. The business won't go broke by paying the staff properly. If a business has to underpay staff to break even, that business is in trouble and will be the first against the wall when the next recession comes, if it survives that long. Badly-run businesses go under all the time. I don't see why we should be propping up bad businesses. If the business is bad, it should be allowed to go under. My comment was related to your request for exorbitant penalties , Dufus.

So why word it so poorly as to be ambiguous? If you can't write clearly, that's not my problem.

Besides, so what if it were? Your argument is incredibly weak. You're acting as if I was proposing ridiculously steep penalties. It's nowhere near as steep as some of the penalties for illegal strike action under current laws.

Perhaps stealing from employees should be treated as a crime and the perpetrators faced maximum jail terms of five years instead? Would you be happy with that?

stunspore wrote on Jan 26^th, 2016 at 2:02pm:

Swagman wrote on Jan 26th, 2016 at 12:56pm: stunspore wrote on Jan 26th, 2016 at 10:30am: Otherwise might as well go back to the days of slavery We're still there Comrade.  It's called progressive taxation. Although you keep saying it, progressive taxation is not slavery.  Slavery has a much tighter definition.  Working rich is much better than working poor - which as a lib supporter I'm sure you  are aiming for the lowly paid workers. Sorry Swag, at some point another person from your party can surely untwist your twisted logic there about progressive taxation.

https://www.youtube.com/watch?v=uxRSkM8C8z4