1. WEEKLY INSIGHT

Bubble tea empire Chatime fined over $130,000 after underpaying vulnerable workers

• The Fair Work case originated from audits of store financial records conducted between August and December 2016. 
• A total of 152 employees, including junior workers, international students, and visa holders, across 19 stores in Melbourne and Sydney were affected. 
• Some workers were paid flat rates as low as $7.59 to $24.30 per hour. 
• Chatime Australia did not adhere to the Fast Food Industry Award, failing to provide necessary entitlements such as loadings and penalty rates. 

• This resulted in a total underpayment of $162,533 for 152 employees, including 41 junior workers under 21 and 95 visa holders. 
• Judge Nicholas Manousaridis noted that these violations were due to ignorance and negligence by Chatime’s management. 
• Mr. Zhao was fined $11,880, while Chatime Australia must pay $120,960 in penalties. 
• The underpayment issue was partly attributed to the preference for “Costing Model B,” which omitted essential payments such as a 23% casual rate loading and weekend penalty rates for Saturday and Sunday work. 

2. HR/IR & LEADERSHIP

Worker’s Death at Hofmann Engineering Leads to $567,000 Settlement

• A welder in his 40s was crushed to death by a 1,350 kg welding manipulator boom at Hofmann Engineering in Bassendean, Perth.
• The accident occurred in May 2019; the worker was taken to the Royal Perth Hospital but could not be saved.
• Hofmann Engineering was fined $567,000 & ordered to pay $29,000 in costs after pleading guilty in court last Monday
• The machinery involved was 40 years old with no manufacturer’s manual or maintenance logbook; only basic pre-start checks were performed.

“The court agreed that the incident was caused by a lack of reasonably practicable safety measure.”

• -WorkSafe WA

• WorkSafe Commissioner highlighted “The tragic outcome of the company’s failure to implement safe work procedures should serve as a warning to all employers with heavy machinery at their workplaces to conduct regular inspections and maintenance in accordance with the manufacturer’s instructions and take action to eliminate or minimise any risks to workers’ safety.”

3. MARVINHR

Perth’s Legal & Accounting Recruitment Specialists

• Unlike most recruiters, we don’t operate on a commission basis. Instead, we focus on matching the best talent with the right firms.
• marvinScout KPI is scores above 70% in Humility, Hard Work, & Honesty Goodness Values average above 65%.
• Failure to maintain these thresholds will lead to cultural disruptions in your firm.
• Opt for retention… >86% of mHR candidates have stayed with the firms we placed them in for at least 18 months.

Hidden Gems…We connect you with Perth’s Untapped Talent Market

• Weekly publication available online.
• Access to 4+ qualified lawyers/accountants actively seeking new roles in Perth.
• Includes details including candidates ‘ideal roles’ notice periods, & salary expectations.

Check out this week’s Lawyers [CLICK HERE] open to new opportunities & Perth’s Top Accountants [CLICK HERE].

4. TOP 4 WEEKLY HR READS

1. Lawyers in Mount Lawley, geologists in Scarborough: Where Perth’s worker tribes live
2. Childcare workers to receive 15% pay rise over 2 years *only if fees not raised by more than 4.4%
3. Leaders at large companies say they face greater barriers to buy-in for new talent initiatives
4. Impose positive AI duty on employers: Inquiry