'Zero tolerance' for franchisees who breach employment law
posted on 17th February 2020
Super Liquor has again taken a hard line on a franchisee found guilty of exploiting staff by terminating the agreements of a multi-unit operator with 15 South Island bottle stores.
Super Liquor Holdings chief executive Campbell McMahon said the Labour Inspectorate's most recent investigation into Nekita Enterprises had identified employment breaches "across multiple stores, over a number of years, affecting a number of staff".
The investigation found that Nekita Enterprises:
- Failed to pay staff the minimum wage.
- Required employees to "pay a premium" by paying the correct hourly rate and then forcing them to pay it back.
- Kept inaccurate wages and time and leave records.
As a result, SuperLiquor said the company had "materially" breached the terms of its franchise agreements, resulting in their termination, effective immediately. "There is no place in the Super Liquor franchise community for this kind of behaviour and we are on public record as having declared zero tolerance for fundamental breaches of employment law," Mr McMahon said.
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