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Celebrity Chef 7.8 Million Underpayment Scandal (Read 695 times)
whiteknight
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Celebrity Chef 7.8 Million Underpayment Scandal
Jul 19th, 2019 at 6:27am
 
George Calombaris underpayment scandal blows out to $7.8 million   Sad

July 18, 2019
The Age
 

Celebrity chef George Calombaris has been slapped with a substantial fine after admitting to underpaying $7.83 million in wages to 515 current and former employees of his hospitality empire as part of an unprecedented deal with the Fair Work Ombudsman.

The MasterChef star has been ordered to make a $200,000 "contrition payment" and must also make a series of public statements to promote compliance with the Fair Work Act, according to an enforceable undertaking announced on Thursday morning.


The full extent of the underpayment scandal has dwarfed initial estimates by Calombaris from April 2017, when his company Made Establishment announced that 162 workers had been underpaid $2.6 million because of "historically poor processes".

A four-year investigation by the Fair Work Ombudsman uncovered a raft of breaches, including a failure to pay minimum award rates, penalty rates, casual loadings, overtime rates, split-shift allowances and annual leave loadings.


Made Establishment also failed to keep records of the hours worked by staff on annualised salaries, some of whom were also denied accrued overtime and penalty rates.

Calombaris is expected to address staff on Thursday to explain the conditions of the enforceable undertaking.

He issued a statement on Thursday morning.

"We apologise to all our affected team members, past and present – as it is our people that make our restaurants great, and it is our priority to ensure all of our employees feel respected, rewarded and supported in their roles," he said.

Calombaris said he was "committed to acting as a force for change in the industry and leading by example".

The agreement with the Fair Work Ombudsman will require Calombaris to implement new payroll and compliance systems across his stable of restaurants that include Hellenic Republic, Gazi and Jimmy Grants.

Each venue must also be independently audited for the next three years, while workplace relations training will be provided to all Made Establishment staff with responsibility for human resources, payroll and on-site management.

Fair Work Ombudsman Sandra Parker said the court-enforceable undertaking would ensure improved wages and record-keeping were in place at the Made group.

"Made’s massive back-payment bill should serve as a warning to all employers that if they don’t get workplace compliance right from the beginning, they can spend years cleaning up the mess," Ms Parker said.

Staff were briefed at Hellenic Republic in Kew on Thursday morning.

One staff member, who declined to be identified, said the meeting was mostly positive.

“I believe George when he says he wants to be a ‘force for change’ in our industry,” he told The Age and The Sydney Morning Herald.

He said he had worked in the hospitality industry a long time and he had never been treated better than at Calombaris’ restaurant chain.

He said staff had been told to direct all questions about underpayments to the restaurant’s marketing team, and that members of Calombaris’ leadership team would be on site at all his restaurants throughout the day.

The massive pay-out and strict conditions imposed by the enforceable undertaking are expected to send shockwaves throughout the hospitality industry, with several prominent chefs and restaurateurs currently under investigation.


The Fair Work Ombudsman recently confirmed it was examining alleged underpayment at upmarket restaurants owned by Neil Perry, Guillaume Brahimi, Teage Ezard and Heston Blumenthal following a series of stories by The Age and The Sydney Morning Herald.

Staff from Made Establishment first made complaints to the Fair Work Ombudsman in 2015, but Calombaris and his then business partner George Sykiotis claimed the issues had been resolved.

However, when Radek Sali, the former chief executive of Swisse vitamins, took a major stake in the business in 2016, a string of discrepancies were identified.

Made Establishment self-reported to the Fair Work Ombudsman in 2017, before making a public statement about the unfolding scandal.

At the time, Mr Sali said he was "prepared for a few potholes in the books" when he first invested, but was unaware that hundreds of staff had been ripped off.

On Thursday morning, Made Establishment chief executive Leigh Small said all but a few claims had been settled and existing staff had been correctly classified under the award system.


"Since changing ownership, we have introduced a new CEO, a new people and culture director and new processes and procedures to ensure we're not only complying with workplace relation laws, but actively promoting a culture of employee wellbeing," Ms Small.

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whiteknight
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #1 - Jul 19th, 2019 at 6:31am
 
Calombaris gets $200,000 fine for $7.8m theft   Sad
18 July 2019
ACTU

     Calombaris gets $200,000 fine for $7.8m theft

George Calombaris has again been exposed as one of Australia’s leading wage thieves, stealing $7.8 million from workers in his restaurants.

Despite being found to have stolen millions of dollars Calombaris will only be asked to repay the money he stole and pay a $200,000 fine to the Fair Work Commission.

While anyone else would face prison time for theft of millions of dollars, employers routinely steal huge amounts from working people and get away with simply returning the money they have stolen and paying a paltry fine.

Union members in Calombris’s restaurants have been working tirelessly for years to expose the rampant theft and exploitation on which he has built his empire. The revelations this week come on the heels of wage theft being exposed by HospoVoice members at Hochi Mama.

Quotes attributable to ACTU President Michele O’Neil:

“If anyone stole $7.8 million and got caught they would expect to spend a long time in prison, but when you’re an employer and you steal from your workers all you have to do is pay it back. This needs to change.

“Wage theft is systemic across entire industries. We need harsher penalties, directors to be held responsible for their actions and rights for unions to access workplaces and ensure that workers are being paid correctly.

“We also need a simple, accessible process for workers to claim back wages that they have had stolen.

“The Government is doing nothing to address wage theft, or the integrity of employers, and instead is focused on legislation which attacks working people and is so extreme that is has no equivalent in the western world.

“This isn’t an isolated indecent or an oversight by a handful of employers, this is a business model for the retail and hospitality sectors and we need to change the law to change behaviour.

“The work that is being done by union members to fight back against wage theft is outstanding and will lead to lasting change. Workers in Calombaris’s restaurants have been fighting for years to expose him and their win today is a huge encouragement to all other workers who are having wages stolen. You can stand together and win against any boss.”
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cods
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #2 - Jul 19th, 2019 at 8:00am
 
Quote:
Quotes attributable to ACTU President Michele O’Neil:

“If anyone stole $7.8 million and got caught they would expect to spend a long time in prison, but when you’re an employer and you steal from your workers all you have to do is pay it back. This needs to change.



not a good look for George or anyone for that matter I agree...

but where are these union people when someon like Clive Palmer can rip off his employees to the tune of $70million... and then spend $80 million on trying to get into parliament?..

got an answer for that one crook?.



seems to me Clive is a million times worse than George yet havent heard a soul call for his neck! Angry Angry
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Gnads
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #3 - Jul 20th, 2019 at 12:31pm
 
Neil Perry is next.

Thieving bastards.
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Politicians are like nappies; they need to be changed often and for the same reason.
The most difficult choice a politician must ever make is whether to be a hypocrite or a liar.
 
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mothra
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #4 - Jul 21st, 2019 at 3:52pm
 
...
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If you can't be a good example, you have to be a horrible warning.
 
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Sir lastnail
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #5 - Jul 22nd, 2019 at 11:14pm
 
Beware of greeks bearing gifts !
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Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars
 
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #6 - Jul 23rd, 2019 at 8:11am
 
Celebrity thief

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Modern Classic Right Wing
 
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Sir lastnail
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #7 - Jul 23rd, 2019 at 11:44am
 
cods wrote on Jul 19th, 2019 at 8:00am:
Quote:
Quotes attributable to ACTU President Michele O’Neil:

“If anyone stole $7.8 million and got caught they would expect to spend a long time in prison, but when you’re an employer and you steal from your workers all you have to do is pay it back. This needs to change.



not a good look for George or anyone for that matter I agree...

but where are these union people when someon like Clive Palmer can rip off his employees to the tune of $70million... and then spend $80 million on trying to get into parliament?..

got an answer for that one crook?.



seems to me Clive is a million times worse than George yet havent heard a soul call for his neck! Angry Angry


clive was helping scumo get re-elected that is why the dude is walking free today !!
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Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars...Libbos are Liars
 
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #8 - Jul 24th, 2019 at 8:52am
 
cods wrote on Jul 19th, 2019 at 8:00am:
Quote:
Quotes attributable to ACTU President Michele O’Neil:

“If anyone stole $7.8 million and got caught they would expect to spend a long time in prison, but when you’re an employer and you steal from your workers all you have to do is pay it back. This needs to change.



not a good look for George or anyone for that matter I agree...

but where are these union people when someon like Clive Palmer can rip off his employees to the tune of $70million... and then spend $80 million on trying to get into parliament?..

got an answer for that one crook?.



seems to me Clive is a million times worse than George yet havent heard a soul call for his neck! Angry Angry


Cods ... the Union movement was heavily involved in publicly bagging out Clive Palmer over his treatment of QLD Nickel employees.

Palmer hid behind the technicalities of Corporate/Company Law to to avoid his obligations.

Columbaris was audited by Fair Work and found to be heavily underpaying his staff.

Good thing is Columbaris has been dropped from his role as judge on MASTER CHEF.

His 2 fellow judges are leaving as well ......

the irony in that is (according to this mornings news) that they are all leaving because of a pay dispute  Grin Grin Grin

They want a pay increase & Ch10 said no.

fancy Columbaris wanting a pay rise ... the grub bastard. Angry
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Politicians are like nappies; they need to be changed often and for the same reason.
The most difficult choice a politician must ever make is whether to be a hypocrite or a liar.
 
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greggerypeccary
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #9 - Jul 24th, 2019 at 9:24am
 
Gnads wrote on Jul 24th, 2019 at 8:52am:
cods wrote on Jul 19th, 2019 at 8:00am:
Quote:
Quotes attributable to ACTU President Michele O’Neil:

“If anyone stole $7.8 million and got caught they would expect to spend a long time in prison, but when you’re an employer and you steal from your workers all you have to do is pay it back. This needs to change.



not a good look for George or anyone for that matter I agree...

but where are these union people when someon like Clive Palmer can rip off his employees to the tune of $70million... and then spend $80 million on trying to get into parliament?..

got an answer for that one crook?.



seems to me Clive is a million times worse than George yet havent heard a soul call for his neck! Angry Angry


Cods ... the Union movement was heavily involved in publicly bagging out Clive Palmer over his treatment of QLD Nickel employees.

Palmer hid behind the technicalities of Corporate/Company Law to to avoid his obligations.

Columbaris was audited by Fair Work and found to be heavily underpaying his staff.

Good thing is Columbaris has been dropped from his role as judge on MASTER CHEF.

His 2 fellow judges are leaving as well ......

the irony in that is (according to this mornings news) that they are all leaving because of a pay dispute  Grin Grin Grin

They want a pay increase & Ch10 said no.

fancy Columbaris wanting a pay rise ... the grub bastard. Angry


One crap TV show off the air.

Only about 300 more to go.

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cods
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #10 - Jul 24th, 2019 at 10:03am
 
greggerypeccary wrote on Jul 24th, 2019 at 9:24am:
Gnads wrote on Jul 24th, 2019 at 8:52am:
cods wrote on Jul 19th, 2019 at 8:00am:
Quote:
Quotes attributable to ACTU President Michele O’Neil:

“If anyone stole $7.8 million and got caught they would expect to spend a long time in prison, but when you’re an employer and you steal from your workers all you have to do is pay it back. This needs to change.



not a good look for George or anyone for that matter I agree...

but where are these union people when someon like Clive Palmer can rip off his employees to the tune of $70million... and then spend $80 million on trying to get into parliament?..

got an answer for that one crook?.



seems to me Clive is a million times worse than George yet havent heard a soul call for his neck! Angry Angry


Cods ... the Union movement was heavily involved in publicly bagging out Clive Palmer over his treatment of QLD Nickel employees.

Palmer hid behind the technicalities of Corporate/Company Law to to avoid his obligations.

Columbaris was audited by Fair Work and found to be heavily underpaying his staff.

Good thing is Columbaris has been dropped from his role as judge on MASTER CHEF.

His 2 fellow judges are leaving as well ......

the irony in that is (according to this mornings news) that they are all leaving because of a pay dispute  Grin Grin Grin

They want a pay increase & Ch10 said no.

fancy Columbaris wanting a pay rise ... the grub bastard. Angry


One crap TV show off the air.

Only about 300 more to go.




it isnt crap its been running 11 years.. get over yourself...you are not paid to watch anything...

I didnt see too much noise from the unions over clives disgraceful behavior   he actually emptied the Qld nichol coffers......ok yet to be proved!  but who else?..

they havent hounded him out of business 

for all we know he is paying them to be quiet   he appears to have the means.
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Ye Grappler
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #11 - Jul 24th, 2019 at 12:26pm
 
cods wrote on Jul 24th, 2019 at 10:03am:
it isnt crap its been running 11 years.. get over yourself...you are not paid to watch anything...

I didnt see too much noise from the unions over clives disgraceful behavior   he actually emptied the Qld nichol coffers......ok yet to be proved!  but who else?..

they havent hounded him out of business 

for all we know he is paying them to be quiet   he appears to have the means.


Too much conspiracy there, cods.. I doubt the Unions would not have at Clive at every opportunity. Unions don't 'hound' anyone out of business.... they protect and defend worker rights and conditions, and work on pay claims, and negotiate for payment for jobs under WorkChoices Lite...

Bad business people 'hound' themselves out of of business ... usually emptying the till first, and then vanishing like Alice's Cheshire cat.... and then re-appearing as someone else..

BTW - what's Slim Mehajer up to these days?  Got another business running under a different name and still reaping the millions for not actually producing a thing and not paying his subbies?

https://www.9news.com.au/salim-mehajer

His fancy car in pieces on the road - insurance job?
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #12 - Jul 24th, 2019 at 3:09pm
 
cods wrote on Jul 24th, 2019 at 10:03am:
greggerypeccary wrote on Jul 24th, 2019 at 9:24am:
Gnads wrote on Jul 24th, 2019 at 8:52am:
cods wrote on Jul 19th, 2019 at 8:00am:
Quote:
Quotes attributable to ACTU President Michele O’Neil:

“If anyone stole $7.8 million and got caught they would expect to spend a long time in prison, but when you’re an employer and you steal from your workers all you have to do is pay it back. This needs to change.



not a good look for George or anyone for that matter I agree...

but where are these union people when someon like Clive Palmer can rip off his employees to the tune of $70million... and then spend $80 million on trying to get into parliament?..

got an answer for that one crook?.



seems to me Clive is a million times worse than George yet havent heard a soul call for his neck! Angry Angry


Cods ... the Union movement was heavily involved in publicly bagging out Clive Palmer over his treatment of QLD Nickel employees.

Palmer hid behind the technicalities of Corporate/Company Law to to avoid his obligations.

Columbaris was audited by Fair Work and found to be heavily underpaying his staff.

Good thing is Columbaris has been dropped from his role as judge on MASTER CHEF.

His 2 fellow judges are leaving as well ......

the irony in that is (according to this mornings news) that they are all leaving because of a pay dispute  Grin Grin Grin

They want a pay increase & Ch10 said no.

fancy Columbaris wanting a pay rise ... the grub bastard. Angry


One crap TV show off the air.

Only about 300 more to go.




it isnt crap its been running 11 years.. get over yourself...you are not paid to watch anything...

I didnt see too much noise from the unions over clives disgraceful behavior   he actually emptied the Qld nichol coffers......ok yet to be proved!  but who else?..

they havent hounded him out of business 

for all we know he is paying them to be quiet   he appears to have the means.


So all you care about is the reality TV show Cods? Roll Eyes

You didn't read or ignored my post..... the Union movement was very vocal against Clive Palmer.

It didn't affect just QLD Nickel workers .... 30 Train Drivers in Townville were also made redundant. My Union was heavily involved in that outfall.

Palmer owed my company $27 million in freight charges.

Palmers case is not Columbariss' case.

both are asreholes.

I have to agree with Peccarhead on this

one dumb reality show gone ... 300 more to go

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Politicians are like nappies; they need to be changed often and for the same reason.
The most difficult choice a politician must ever make is whether to be a hypocrite or a liar.
 
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cods
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #13 - Jul 25th, 2019 at 9:50am
 
Gnads wrote on Jul 24th, 2019 at 3:09pm:
cods wrote on Jul 24th, 2019 at 10:03am:
greggerypeccary wrote on Jul 24th, 2019 at 9:24am:
Gnads wrote on Jul 24th, 2019 at 8:52am:
cods wrote on Jul 19th, 2019 at 8:00am:
Quote:
Quotes attributable to ACTU President Michele O’Neil:

“If anyone stole $7.8 million and got caught they would expect to spend a long time in prison, but when you’re an employer and you steal from your workers all you have to do is pay it back. This needs to change.



not a good look for George or anyone for that matter I agree...

but where are these union people when someon like Clive Palmer can rip off his employees to the tune of $70million... and then spend $80 million on trying to get into parliament?..

got an answer for that one crook?.



seems to me Clive is a million times worse than George yet havent heard a soul call for his neck! Angry Angry


Cods ... the Union movement was heavily involved in publicly bagging out Clive Palmer over his treatment of QLD Nickel employees.

Palmer hid behind the technicalities of Corporate/Company Law to to avoid his obligations.

Columbaris was audited by Fair Work and found to be heavily underpaying his staff.

Good thing is Columbaris has been dropped from his role as judge on MASTER CHEF.

His 2 fellow judges are leaving as well ......

the irony in that is (according to this mornings news) that they are all leaving because of a pay dispute  Grin Grin Grin

They want a pay increase & Ch10 said no.

fancy Columbaris wanting a pay rise ... the grub bastard. Angry


One crap TV show off the air.

Only about 300 more to go.




it isnt crap its been running 11 years.. get over yourself...you are not paid to watch anything...

I didnt see too much noise from the unions over clives disgraceful behavior   he actually emptied the Qld nichol coffers......ok yet to be proved!  but who else?..

they havent hounded him out of business 

for all we know he is paying them to be quiet   he appears to have the means.


So all you care about is the reality TV show Cods? Roll Eyes

You didn't read or ignored my post..... the Union movement was very vocal against Clive Palmer.

It didn't affect just QLD Nickel workers .... 30 Train Drivers in Townville were also made redundant. My Union was heavily involved in that outfall.

Palmer owed my company $27 million in freight charges.

Palmers case is not Columbariss' case.

both are asreholes.

I have to agree with Peccarhead on this

one dumb reality show gone ... 300 more to go




is that why so many Qld Nickel workers are still waiting for their money????....



ummmmmm.......yet they are after  George....and yes a show only runs for 11 years because it is popular...

it doesnt matter what I think..

I am outraged about Palmers absolute hypocrisy spending $80 million on a lost cause  in fact a cause he should never  have been allowed to take part in imo.


have I seen anyone come down on him for that??????

not so far...

and there is no difference between the two at all..

workers didnt get their entitlements..

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greggerypeccary
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Re: Celebrity Chef 7.8 Million Underpayment Scandal
Reply #14 - Jul 25th, 2019 at 9:55am
 
cods wrote on Jul 25th, 2019 at 9:50am:
Gnads wrote on Jul 24th, 2019 at 3:09pm:
cods wrote on Jul 24th, 2019 at 10:03am:
greggerypeccary wrote on Jul 24th, 2019 at 9:24am:
Gnads wrote on Jul 24th, 2019 at 8:52am:
cods wrote on Jul 19th, 2019 at 8:00am:
Quote:
Quotes attributable to ACTU President Michele O’Neil:

“If anyone stole $7.8 million and got caught they would expect to spend a long time in prison, but when you’re an employer and you steal from your workers all you have to do is pay it back. This needs to change.



not a good look for George or anyone for that matter I agree...

but where are these union people when someon like Clive Palmer can rip off his employees to the tune of $70million... and then spend $80 million on trying to get into parliament?..

got an answer for that one crook?.



seems to me Clive is a million times worse than George yet havent heard a soul call for his neck! Angry Angry


Cods ... the Union movement was heavily involved in publicly bagging out Clive Palmer over his treatment of QLD Nickel employees.

Palmer hid behind the technicalities of Corporate/Company Law to to avoid his obligations.

Columbaris was audited by Fair Work and found to be heavily underpaying his staff.

Good thing is Columbaris has been dropped from his role as judge on MASTER CHEF.

His 2 fellow judges are leaving as well ......

the irony in that is (according to this mornings news) that they are all leaving because of a pay dispute  Grin Grin Grin

They want a pay increase & Ch10 said no.

fancy Columbaris wanting a pay rise ... the grub bastard. Angry


One crap TV show off the air.

Only about 300 more to go.




it isnt crap its been running 11 years.. get over yourself...you are not paid to watch anything...

I didnt see too much noise from the unions over clives disgraceful behavior   he actually emptied the Qld nichol coffers......ok yet to be proved!  but who else?..

they havent hounded him out of business 

for all we know he is paying them to be quiet   he appears to have the means.


So all you care about is the reality TV show Cods? Roll Eyes

You didn't read or ignored my post..... the Union movement was very vocal against Clive Palmer.

It didn't affect just QLD Nickel workers .... 30 Train Drivers in Townville were also made redundant. My Union was heavily involved in that outfall.

Palmer owed my company $27 million in freight charges.

Palmers case is not Columbariss' case.

both are asreholes.

I have to agree with Peccarhead on this

one dumb reality show gone ... 300 more to go




is that why so many Qld Nickel workers are still waiting for their money????....



ummmmmm.......yet they are after  George....and yes a show only runs for 11 years because it is popular...

it doesnt matter what I think..

I am outraged about Palmers absolute hypocrisy spending $80 million on a lost cause  in fact a cause he should never  have been allowed to take part in imo.


have I seen anyone come down on him for that??????

not so far...

and there is no difference between the two at all..

workers didnt get their entitlements..



Popular doesn't = good.

Masterchef is crap TV.

Not as bad as The Living Room, but mighty close.

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