A Victorian couple will face court after being accused by the Fair Work Ombudsman of underpaying nearly 100 staff members between 2017 to 2019.
Louise Maree Melotte and Travis Francis Melotte allegedly owe more than $300,000 in wages to people who worked at the iconic Hotel Frangos and Café Koukla on Vincent Street in Daylesford.
Today it has been revealed that the regulator has accused the couple of underpaying 15 junior staff members between the ages of 15 and 20, as well as a "number" of visa holders from Nepal, Pakistan and Armenia.
The majority of the alleged underpayments involve 27 salaried, full-time employees who were allegedly not covered by the Hospitality Industry Award.
The ombudsman has also alleged casuals did not receive overtime rates, meal break penalties, casual loading or the minimum wage.
Fair Work alleged Mr and Ms Melotte were involved in requiring two Nepalese cooks on salaries to work almost 50 hours per week.
The statutory agency alleged the additional hours worked were detrimental to the staff's health and safety.
The two cooks are allegedly owed a combined amount of $80,000.
Fair Work Ombusdman Sandra Parker said underpayments from insufficient salaries was a "persistent issue".
"Businesses paying salaries cannot take a 'set-and-forget' approach," she said.
"They must ensure wages being paid cover all minimum entitlements for the hours their employees actually work.
"Employers also need to be aware that taking action to protect vulnerable workers like visa holders and young workers continues to be a priority for the agency."
The ombudsman says Ms Melotte be fined as much as $12,600 per breach for "multiple alleged underpayment breaches".
Mr and Ms Melotte could be penalised the same amount per breach if it is found that employees worked unreasonable additional hours.
The number of alleged breaches will be determined in court, according to Fair Work, which is also seeking a court order to secure back-pay – including superannuation and interest – for the allegedly underpaid cooks and junior staff.
The company that directly employed the workers – which listed Ms and Mr Melotte as "sole directors" at different times – has gone into liquidation.
A directions hearing is listed in a Melbourne court in June for the couple.
