Major hospitality company under fire for changing employment contract days before Australia Day   

News.com.au
January 26, 2023


Staff at a major hospitality group allege they were terminated and then rehired by a different entity that doesn’t have to pay penalty rates.

Casual staff claim they were forced into signing a contract with a new employer just days before the Australia Day January 26 public holiday where penalty rates would have applied.

Mantle Group Hospitality, which oversees restaurants including the Pig ‘n’ Whistle chain in Brisbane, Squire’s Landing in Sydney and Babylon Rooftop in both states, to name a few, is under fire for the controversial move right before a major public holiday.

Around 700 people are believed to have been impacted.

A Mantle Group spokesperson insisted no workers had been fired, and instead said permanent staff had been “asked to consent to a reassignment of their employment”.

As for casual employees, the spokesperson said the nature of their employment meant their job was over at the end of each shift, and they had been offered a contract with a new entity.

The spokesperson rejected claims that a clause would be abused to get out of paying the 225 per cent loading for staff working a public holiday period.

It comes less than two weeks after a law firm secured a victory against Mantle Group at the Fair Work Commission for underpaying staff, including not paying penalty rates to workers, a decision which Mantle Group plans to appeal.

A Pig 'n' Whistle pub at King George Square, Brisbane. Mantle Group Hospitality runs this operation.

Mantle Group Hospitality staff used to be paid according to an enterprise agreement they had with Hot Wok Pty Ltd however on Monday, according to both publications, staff were informed work at this employer would cease.


They were then given the option to sign on to a new employer called KGS Staff Pty Ltd.

This new entity has an enterprise agreement that has not been updated since 2019 and so has not risen with inflation.

A Mantle Group Hospitality spokesperson said under the new agreement, casual employees will be paid a 225 per cent loading on the award base rate for public holidays such as Australia Day.

However, a clause in the KGS staff contract makes it easy to get out of paying this, staff have claimed, as workers must agree to swap out public holidays for a day with normal pay.

The Courier Mail said the offer of employment staff received on Monday stated: “The employee agrees that they will swap all designated public holidays to a date which may be designated by KGS from time to time. If the employee wishes to withdraw from this arrangement, they must notify KGS in writing.”

Mantle Group assured news.com.au that this clause is not a way for penalty rates to remain unpaid.

“KGS Staff Pty Ltd employees have been communicated with via correspondence and venue briefings that loading will apply to weekends and staff will not be required to swap public holidays to another date designated by KGS Staff Pty Ltd,” they wrote, despite the phrasing in the employment offer.

Workers also reportedly cannot make any negative comments about their employer and also signed a confidentiality clause that stops them from discussing their pay with anyone else.


The Squire's Landing in Sydney, also part of Mantle Group Hospitality.
The United Workers’ Union challenged Hot Wok Pty Ltd for the original enterprise agreement which held back penalty rates and earlier this month, on January 12, a full bench at the Fair Work Commission upheld that workers had been underpaid.

They ordered the hospitality group to back pay staff for 18 months of work.

Mantle Group confirmed their entity, Hot Wok, would be appealing the case at the highest level, in the Federal Court, after other appeals with the Fair Work Commission were not accepted.

“Hot Wok will be applying to the Federal Court to have all of the decisions of the FWC quashed because of bias,” they said.


“Hot Wok is confident that it will be successful in having these unfair and biased comments overturned.”

Maurice Blackburn principal lawyer Giri Sivaraman, who was part of the team that took Mantle Group to the Fair Work Commission, told The Courier Mail he was “gutted” for the 700-odd workers.

On the plus side a lot of people are getting rich not having to pay penalty rates.
Maybe more industries will set up shop in Australia and create more jobs, now they know they won't be ripped off by Unionists.
Australia's economy might explode in the positive and Australia can afford to become a Rich Economy, even a Super Power where the Government can afford a lot of stuff with a trickle down effect for local Councils.
Australian Workers who think they work hard yakka will come to understand real hard work like the rest of the world's workers.
Manufacturing might return to Australia and much more.
With so many Millionaires emerging and money to be made like a Goldrush for Entrepreneurs - things will boom in this country.
Better to be a 'Boss' than a Worker.
Currently Australian Workers cry 'poor downtrodden Convicts' living on a loaf of bread. But in truth, they are one of the highest paid workforces on the planet. What do they spend their money on? Grog and Drugs.
Get rid of penalty rates and this country will benefit.
What's a worker without a Business.
You want to make big money? Well, you've got to go overseas to make it. Why do you think Australian Actors all try to make it over in Hollywood? Because there is more money to be made there than being a 'Unionised' Worker actor here.

Money to be made. Get rid of penalty rates and Unions and more money can be made for those who strive to be better than just settling to be a worker.

What has Australian Unionised Workers done with all the money they get?
Well the same as the Abos and their $$$ - nothing but piss and drug it up against the wall.

Shouldn't be working on Weekends or Public Holidays otherwise they wouldn't really be Weekends or Public Holidays now eh?
If they do - then they're in the wrong job.

Jasin wrote on Jan 26^th, 2023 at 7:25pm:


I agree - the company should close on public holidays.

If they want to open they need to pay the appropriate penalties for their action.

I remember when the drivers on the docks company would close down every 9 years and 11 months and then re open as a different company. They would then re employ all their drivers. This made sure that nobody ever reached their long service leave entitlement.

Dnarever wrote on Jan 26^th, 2023 at 11:03pm:


Yep it wasn't just bigger companies doing that either.

Small businesses do it too....... but they don't rehire the person they sack.

The hire someone else for the same job.

And would then do the same to that next person.

It should be illegal.

Whilst businesses & large companies behave in this manner Unions will still be relevant.

Jasin wrote on Jan 26^th, 2023 at 6:58pm:


Quote:


Trickle down is a fallacy. What we in fact see is trickle up which is what has made a lot of wealthy people much more wealthy.