Court hits Newcastle dumpling restaurant operators with $10k in fines – hospitality


The Fair Work Ombudsman (FWO) has secured a combined fine of $10,479 against the Dumpling Land operators.

The Federal Circuit and Family Court found the Wallsend restaurant operators for underpaying the minimum wages, overtime entitlements, and penalty rates of 28 workers between June 2021 and April 2023. The majority of the workers were international students, with some aged under 25 at the time.

The court imposed a $4,563.54 penalty against Dumpling Land operators Kailiang Chen and a $5,915.70 penalty against Alex Du. The pair operated the restaurant as a partnership.

Fair Work issued the partners with a compliance notice in 2023. Following the investigation, Chen and Du back-paid some staff, but still owe back-payments to 10 staff.

On top of the penalties, the court ordered Chen and Du pay six of those workers a total of $12,423, plus superannuation and interest, and rectify underpayments to the other four workers.

Fair Work Ombudsman Anna Booth said the FWO takes cases impacting visa holders and young workers particularly seriously.

“We are conscious they can be vulnerable due to factors such as a lack of awareness of their entitlements or a reluctance to complain,” said Booth.

“Employers need to be aware that taking action to protect vulnerable workers is an enduring priority for the Fair Work Ombudsman. Any workers with concerns should contact us for free advice and assistance.”

Judge Natasha Laing said the penalties needed to be high enough to deter Chen, Du, and other employers from future similar conduct.

“The penalties imposed in this matter should be sufficiently high to impress upon those in positions of responsibility the importance of complying with their legal obligations, and in particular the need to comply with statutory notices from the FWO,” Judge Laing said.

Small businesses can find targeted resources at the Small Business Showcase and information is available for employees and employers at the FWO’s fast food, restaurants and cafés, and young workers and visa holders webpages.

Employers and employees can visit Fair Work or call the Fair Work Infoline on 13 13 94 for free advice and assistance.

Photograph by Madison Inouye / Pexels





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