ERA rejects employer's defence that immigrant was 'volunteer'
An employer previously fined for exploiting migrant workers has been found liable anew for doing it again in another one of her businesses.
Victoria Jeon is the sole director and shareholder of Elev 8 Global Limited, which operated various businesses in Princess Street and Moray Place in Dunedin.
In a ruling released this month, the Employment Relations Authority (ERA) found that Elev 8 Global breached the Minimum Wage Act 1983, the Holidays Act 2003, and the Employment Relations Act 2000 for taking in a newly arrived immigrant without paying.
"Jeon is liable as a person involved in the breaches," the ERA also said.
The ERA's latest ruling comes after Jeon, a trustee of Dunedin-based Jesus Aroma Church Trust (JACT), was fined just last month with over $100,000 for exploiting two migrant workers.
And in this latest case, Jeon was accused of making Haesol Yuk work for Elev 8, while the latter's husband waited for his visa to start working as a JACT Pastor.
The ERA heard that Yuk was made to work 12 hours a day every Monday to Saturday between April 22 and June 8, 2019, where she carried out tasks at under Jeon's direction without pay.
Elev 8 and Jeon, however, defended that Yuk "worked as a volunteer and was never an employee."
The ERA ruled in favour of Yuk, stressing that she was "employed by Elev 8 to do work for hire or reward under a contract of service."
"The real nature of the arrangement was an employment relationship," the ERA said.
According to the authority, Yuk is owed arrears under the Minimum Wage Act 1983 and the Holidays Act 2003.
The labour inspector, who raised the case to the ERA, was ordered to recalculate the arrears, while a further determination to fix the amount will follow. They are also ordered to submit the appropriate penalties to be recovered for the breaches committed by the organisation.
"Elev 8 and Mrs Jeon may lodge submissions in reply with respect to penalties within a further 14 days, or longer with the Authority's consent," the ERA said, before adding that costs are reserved.
Jeon's cases come as the government introduced last year the Worker Protection (Migrant and Other Employees) Bill to help protect migrant workers from exploitation.
