Accredited Employer to Pay $100K for Exploiting Migrant Workers

Michael Yoon
Principal Immigration Lawyer

Hamilton's Chilli India restaurant exposed for coercing immigrant workers to pay $30,000 to keep their jobs and avoid deportation, leading to significant legal penalties and highlighting severe worker exploitation. Contact Immigration Lawyer NZ for any questions.

Alright, let’s cut to the chase. In this INZ news, what we’ve got here is an absolutely disgraceful case of immigrant exploitation. A prominent Indian restaurant in Hamilton, Chilli India, run by Jayant and Deepti Kaushal, has been exposed for coercing their immigrant workers to pay for the privilege of staying employed – and by extension, staying in the country.

Three staff members, who were paid less than $8 per hour, were threatened with deportation unless they coughed up $30,000. Imagine that. It’s not just about being underpaid, it's about being extorted to keep their visas. This kind of exploitation is not just illegal; it’s immoral.

When one of the workers reported this to the Ministry of Business, Innovation and Employment (MBIE), an inquiry uncovered a web of corruption, deceit, and exploitation. The Kaushals had been running this racket, not paying minimum wages, holiday pay, or annual leave, and demanding money under threats of deportation. It’s nothing short of modern-day slavery.

JDfoods, the company behind Chilli India, is now shuttered, but not before being hauled over the coals by the Employment Relations Authority. The evidence, a mix of documents and audio recordings, painted a grim picture. The Kaushals were found guilty of multiple breaches of employment laws, including failing to pay minimum wages and holiday pay. They’ve been ordered to pay nearly $100,000 in damages and penalties.

But let’s be honest here, this kind of punishment, while significant, barely scratches the surface of the damage done to these workers' lives. The Kaushals fabricated evidence, coerced witnesses, and tried to mask their actions through convoluted money transfers. This wasn’t a mistake; it was a calculated, ruthless exploitation of vulnerable people.

A member of the ERA said it was the most destructive case he’s encountered in 19 years. Deepti Kaushal even admitted to fabricating documents and coercing witnesses to lie. The defence crumbled spectacularly, leaving no doubt about their guilt.

The penalties include $18,496.38 for unpaid wages, $42,323.04 for the illegal premiums, $7,387.71 in interest, and $31,500 in penalties. This is a significant win for the workers, but it also serves as a stark reminder of the ongoing issue of worker exploitation in New Zealand.

This case should serve as a wake-up call. We need to ensure that such exploitation is not just punished but eradicated. Immigrants come here for a better life, not to be treated as cash cows for unscrupulous employers. It’s high time we tighten the laws and enforcement to protect these vulnerable workers from such heinous exploitation.

We should all be outraged, and we should demand more action to prevent such abuses in the future. This is not just about Chilli India; it’s about sending a clear message that New Zealand will not tolerate exploitation and corruption.

This country prides itself on fairness and justice. Let’s make sure we live up to that ideal.

And that's the immigration news for today. Follow and subscribe for more immigration content like this. Ka Kite Ano.

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Last modified on 14 July 2024 by
Michael Yoon
Principal Immigration Lawyer
Michael has been working as a lawyer in New Zealand since 2006. Over the years, he has successfully helped thousands of clients to get their desired outcome. Clients find Michael knowledgeable, approachable and professional — a trusted expert.
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