“Noodle chain allegedly underpaid workers almost $1 million”

The Fair Work Ombudsman (FWO) has commenced legal action against P’Nut Street Noodles chain for allegedly underpaying workers $1 million.

The FWO alleged that Sabcha Pty Ltd, which employed staff to work across 11 P’Nut Street Noodles restaurants, underpaid 118 workers a total of $976,463. Alleged individual underpayments range from $70 to $79,000.

The regulator is also taking one of the company’s managers and directors, Ankur Sehgal, to court.

P’Nut Street Noodles has seven stores in Sydney, and four in Queensland. The majority of the underpaid staff were migrant workers on sponsored work, student and other visas…

The FWO received a number of underpayment allegations through its anonymous report tool, triggering the regulator to conduct surprise audits.

During the audits, Fair Work Inspectors discovered the alleged underpayments were the result of Sabcha reportedly paying unlawfully low flat rates. The allegations also state that Sabcha breached record keeping and pay slip obligations, and provided false or misleading time and wage records to inspectors…

The FWO considers breaches that are committed knowingly and systematically as serious contraventions, which attract a tenfold increase in available maximum penalties.