New Zealand Law Society - Domino's franchises penalised for employment breaches

Domino's franchises penalised for employment breaches

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Two Domino’s franchises operated by the same employer have been penalised for serious breaches of employment law.

Auckland companies E Lynn Ltd and E Ming Ltd are operated by Xi Chen.

The Employment Relations Authority has found Mr Chen failed to provide the companies' employees correct agreements and to keep correct wage, time, holiday and leave records.

The ERA ordered each company to pay a penalty of $16,200.

“It’s disappointing to see companies operating under established and international brands, failing to provide employees with their minimum rights,” says Labour Inspectorate Retail Lead Loua Ward in a statement on MBIE’s website.

After the event, Mr Chen paid his 112 staff $54,000 in arrears but Ms Ward says it is unacceptable for businesses to ‘fix things up’ after the event.

“Businesses and their brands must have mechanisms in place to monitor and prevent employment standards breaches. It’s the ‘getting it right’ that counts,” says Ms Ward.

“Businesses and their associates should know that the Labour Inspectorate will hold them fully and publicly to account for failing to comply with the law."