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IGA supermarket charged with underpaying migrant worker $93,000

IGA logo
The IGA in Narrandera, NSW, is under investigation (Source: Bigstock)

The Fair Work Ombudsman (FWO) has launched legal proceedings against an IGA supermarket in regional NSW, bringing allegations that it underpaid a migrant worker by more than $ 93,000 and tried to cover it up.

Kinsfolk Retail, the franchisee of IGA Narrandera, is set to face the Federal and Family Court. The company’s sole director and owner, Kavit Himanshu Parekh, and his brother Ripple Himanshu Parekh, are also the subject of the investigation.

The FWO claims that Kinsfolk underpaid a Nepalese visa holder by $93,257 between August 2021 and May 2023. The investigation was launched after the worker requested assistance from the FWO.

“Allegedly significantly undercutting minimum award rates and trying to cover it up with false records and pay slips is completely unacceptable conduct,” Fair Work Ombudsman Anna Booth said. “We are committed to taking action to protect vulnerable workers in Australia and will ensure that employers who breach the law are held to account.”

The commencement of legal proceedings is not an indication of guilt on Kinsfolk’s part. The FWO said that Kinsfolk Retail has rectified the alleged underpayments in full.

Further allegations say that the worker was entitled to receive between $22.33 and $23.38 for normal hours, and rates ranging from $27.91 to $58.45 an hour for the weekend, public holiday, late-night, and overtime work he regularly performed.

It is alleged that annual leave entitlements, minimum break entitlements and a laundry allowance were also underpaid. Kinsfolk Retail faces penalties of up to $82,500 per breach and Kavit Himanshu Parekh and Ripple Himanshu Parekh each face penalties of up to $16,500 per breach.

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