The Fair Work Ombudsman has signed Enforceable Undertakings with the operators of two Asian grocery stores in Sydney, which have collectively rectified more than $706,000 in underpayments to 146 workers, including vulnerable visa holders.
Two companies which have common directors have signed the undertakings: Thai Kee Grocer Pty Ltd, trading as Gong Grocer World Square, and G Grocer Kingsford Pty Ltd, trading as Gong Grocer Kingsford.
The companies must make contrition payments totalling $95,000 to the Commonwealth Consolidated Revenue Fund, with Thai Kee Grocer to pay $75,000 and G Grocer Kingsford $20,000.
The undertakings also commit the employers to improving their compliance practices, which includes new systems and processes to meet all obligations under the relevant Award and the Fair Work Act.
After enquiries from the community flagged potential widespread non-compliance, the FWO started investigating Thai Kee Grocer last year. The company admitted its underpayments soon after, followed by G Grocer Kingsford self-reporting its underpayments.
The underpaid employees worked as shop assistants and in office administration roles. Of the 146 underpaid employees, 32 were on visas including student and working holiday visas. Three were juniors aged 18 and 19.
The companies did not pay the correct minimum rates for ordinary hours, weekend work, overtime, allowances and leave loading, which breached the General Retail Industry Award 2020 and the Fair Work Act. Most of the underpayments were the result of failing to pay owed weekend penalty rates and overtime.
Some staff were misclassified under the Award, resulting in them getting less than the relevant minimum rate for their positions. Some employees were underpaid for personal or carer's leave.
Thai Kee Grocer Pty Ltd and G Grocer Kingsford Pty Ltd were found to have underpaid the employees a combined $657,469 in 18 months. Between August 2023 and February 2025, Thai Kee Grocer underpaid 104 employees $446,379 and Gong Grocer Kingsford underpaid 42 employees $211,090.
The companies have rectified all underpayments, with $48,689 in superannuation and $30,751 in interest on top, collectively.
Across all the employees, the lowest individual back payment was $2 and the highest was $22,320.
Enforceable Undertakings were considered appropriate because of the companies' cooperation with the FWO in its investigations, the full back-payments, and the measures put in place to prevent future breaches - including two audits to check compliance in the future.
Fair Work Ombudsman Anna Booth urged employers of all sizes to check they are meeting their legal obligations.
"We expect all employers to meet all their obligations under any relevant award and the Fair Work Act. Hardworking employees must receive their full range of entitlements," Ms Booth said.
"Higher rates of pay on weekends, for example, are meant to compensate staff working often unsociable hours when most others are not.
"Protecting the workplace rights of migrant workers, who can be vulnerable, is also an enduring priority for the Fair Work Ombudsman, and we encourage them to speak up if they have issues. This matter highlights the value of members of the public also speaking out.
"We welcome the employers' back-payments of all impacted staff and their commitments to improve their processes so that there is ongoing compliance in the future.
"Importantly, these grocery workers will have some new ways to speak up about any concerns - at paid monthly meetings and through a dedicated email inbox.
"We want employers to get it right in the first place and encourage them to take advantage of the free tools and resources we offer via fairwork.gov.au, the Fair Work Infoline and the Employer Advisory Service (for small businesses) to get wages right," Ms Booth said.
Under the EU with the Fair Work Ombudsman, both companies have also agreed to:
- Fix any underpayments uncovered by their two independent audits;
- Report to the FWO about new systems and processes to ensure future compliance with workplace laws;
- Introduce paid monthly meetings to hear concerns from employees about employment conditions;
- Take enquiries about entitlements, underpayments or related concerns through an email inbox and tell FWO how they responded.
The FWO's Small Business Showcase has resources for small business employers. Small businesses can audit their own compliance with their obligations with this checklist.
The FWO also has an Employer Advisory Service which provides small business employers with free, customised advice on employee pay and entitlements.