540 days ago

Indian workers claim they were made to work 17-hour days with no pay, treated like slaves by restaurant chain

Brian from Mount Roskill

A group of 19 Indian migrant workers claim they are being made to work in what they describe as slave-like conditions up to 17 hours per day with no pay at Auckland restaurant chain Daaku Kebab.
The men claim they each paid between $26,000 and $60,000 for the work visas they feel have now trapped them.
They said they went to Sikh temples for help, and the temple communities were now supplying them with groceries. Daljit Singh, a spokesman for the Supreme Sikh Society said the workers were “not in a good shape mentally”.
The Ministry of Business, Innovation and Employment (Mbie) confirmed it had received complaints about alleged migrant exploitation at Daaku Kebab and the matter had been referred to its investigations team.
Daaku Kebab has five outlets across Auckland. One of its two directors, known by the single name Sourav, has denied the allegations as “baseless”.
Khawaish Singh, 24, said he paid $26,000 for his visa and a job at Daaku Kebab, and claims that for the first two months he received no payments despite being made to work 17-hour days.
He and three other workers - Partab Singh, 26, Narender Singh, 33, and Harsh Singh, 27 - share a basement in Papatoetoe and say they survive on food and groceries they get from the Sikh temple.
Khawaish said he worked from 11am to 4am for two months under “training” and received no payment for his work. He was just given meals.
“We are treated just like slaves and I didn’t feel like I was being treated like a human being at all,” said Khawaish, who first started work for the chain in July last year.
Khawaish said he started getting paid in September but did not know how much he received hourly because the company did not give him payslips.
Co-workers Partab, Narender and Harsh shared similar claims with the Herald, alleging they were being made to work long hours with little or no pay after paying tens of thousands of dollars for their visas.
Harsh claims he paid $60,000 for his visa because the company had promised he could be a shareholder.
“When I asked about getting a proper salary so I can repay the money I borrowed, they threatened by saying the business will be sold and all the money that I paid will be gone,” he claimed.
He feared that not repaying a loan for the money he borrowed to pay for his visa would put his family in danger.
Sourav denies all the allegations. “These allegations are all denied, but under legal advice I am unable to comment further whilst an investigation is under way.”
He said the problems arose from a “personal matter concerning families back home in India”.
“They are unable to substantiate the amounts alleged and this is a baseless allegation,” he said.
“Some of these employees have refused to work, quarrelled with customers, and have committed acts of theft on business premises.”
Sourav said he had faced pressure from the families of the men back in India to continue employing them.
He also said he had reached out to the workers “to finalise their outstanding dues and minimum employment entitlements which they are entitled to”.
“They have not yet responded to my request,” he said.
In an email dated June 17 and sighted by the Herald, Sourav said he would like to meet with the workers to resolve their employment dispute.
He said their payslips will be provided to them then.
In a previous email on June 12, Sourav said he was selling the business and gave the men two weeks to find another job or seek other options.
“Business is much slower than I expected, to be honest I put all my personal savings into my business and even still can’t afford my food expenses and my home loan . . . so I decided to sell my business,” he wrote.
Daljit Singh, a spokesman for the Supreme Sikh Society, said 19 workers linked to Daaku Kebab had sought help from Sikh temples in Papatoetoe and Takanini.
He claimed they had “been scammed”, and said it was his belief that they were paying for a pathway to residency and getting part of the business.
He said the temple had been supporting the group with groceries and supplies, and they came to the temples at least once a day for hot meals.
James Friend, Mbie acting national manager investigations, said the complaints were being referred to the ministry’s investigations team.
“We have received complaints which have been referred to our investigations team,” Friend said.
“To protect the integrity of our investigation, we will not be commenting on details of an ongoing investigation.”
The four men who spoke to the Herald had been assessed to be eligible to apply for the Migrant Exploitation Protection Visa.
This is the latest among a string of alleged exploitation cases linked to Immigration New Zealand’s accredited employer work visa (AEWV) scheme, which followed an employer-led process to hire migrant workers.
As at June 3, Immigration had approved 120,472 AEWV applications, and 35,264 accredited employers that use the scheme to attain work visas for as many staff as they wanted.
There are currently 255 active investigations on 246 accredited employers under way and 366 have had their accreditation either revoked or suspended.
It remains unclear how many people have been exploited as a result of companies exploiting the scheme and migrants wanting to move to New Zealand.
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12 hours ago

Minimum wage to increase from April next year, Govt commits to bigger rise than last year

Brian from Mount Roskill

The Government will increase the minimum wage by 2% from April next year.
Workplace Relations Minister Brooke Van Velden announced the hourly wage would move from the current $23.50 to $23.95 in line with advice from the Ministry of Business, Innovation and Employment.
“Moderate” increases of the minimum wage formed part of NZ First’s coalition agreement with National.
Van Velden says the new rate, which would impact around 122,500 New Zealand workers, strikes a right balance between keeping up with the cost of living – the Reserve Bank expects inflation to fall to around 2% by mid-2026 – and no adding more pressure to the costs of running a business.
The starting out and training minimum wage would be move to $19.16 to remain at 80% of the adult minimum wage.
The minimum wage was last increased on April 1 this year. That 1.5% increased to $23.50, affecting between 80,000 and 145,000 workers, was not at the time in line with inflation which sat around 2.5% in March.
“I know those pressures have made it a tough time to do business, which is why we have taken this balanced approach. With responsible economic management, recovery and relief is coming,” Van Velden said.
“I am pleased to deliver this moderate increase to the minimum wage that reflects this Government’s commitment to growing the economy, boosting incomes and supporting Kiwis in jobs throughout New Zealand.”
Official documents from the Ministry of Business, Innovation and Employment (MBIE) show the department provided the Minister with seven options for the minimum wage, ranging from maintaining the current rate or increasing by 3% up to $24.20 per hour.
A 2% increase was recommended, the Ministry said, as this was ”considered to best balance the two limbs of the objective - protecting the real income of low-paid workers and minimising job losses."
“CPI inflation forecasts suggest annual inflation will ease to be within the 2–2.5% range in the first half of 2026 and remain relatively stable at around 2% from June 2026 through to 2028.
“These forecasts indicate that a 2% increase would largely maintain the real income of minimum wage workers relative to the level of the minimum wage when it last increased on 1 April 2025.”
Officials said a 2% increase wouldn’t have significant employment restraint effects.
But given recent economic data, including a Gross Domestic Product (GDP) contraction and elevated unemployment, MBIE said it favoured a “cautious approach”.
“A 2% increase to the adult minimum wage is expected to affect approximately 122,500 workers, including those currently earning at or below the minimum wage, or between the current rate and $23.95.”
The key groups that would be impacted include youth, part-time, female, and Māori workers, as well as sectors like tourism, horticulture, agriculture, cleaning, hospitality, and retail.
“While these workers would benefit from a wage increase, they may also be more exposed to employer responses to increased labour costs such as reduced hours or adjustments to non-wage benefits,” the ministry said
“The estimated fiscal cost to government from this increase is relatively modest, at $17.5 million annually, consistent with the small cost estimates across all rate options.”
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