R1.3m in wages: Pretoria restaurants have 14 days to pay workers

Two restaurants at Menlyn Mall in Pretoria East found guilty of labour violations have been given 14 days to pay over R1.3m in owed wages and comply with legal labour practices.

The Department of Labour confirmed the deadline to Pretoria Rekord after both restaurants were found in violation of labour laws.

Thobeka Magcai, the spokesperson for the minister of Labour and Employment, said the employers had contravened the Basic Conditions of Employment Act 75 of 1997 and the National Minimum Wage Act 9 of 2018. The eateries now have two weeks to pay their workers and rectify the breaches.

As promised that we’ll act @ClaysonMonyela, our team together with Home Affairs Immigration &Hawks pounced on Babel restaurant following the tip off of unfair labour practice. Some arrests have been made.. more details to follow #Babel #LabourMatters #Labour @DmJomo @deptoflabour pic.twitter.com/h9otVzAshw

— Nomakhosazana Meth (@Meth_Khosi) September 15, 2024

Raid leads to 4 being detained

The restaurants were raided on Sunday by police, Home Affairs, and the Department of Labour after a tip-off regarding unfair labour practices. This followed a social media post by a former worker alleging mistreatment, including the need to buy her own equipment, no basic salary, and a daily non-refundable R200 breakage fee.

Magcai stated that several non-compliance issues were identified during the operation, resulting in four people being detained for employing undocumented foreign nationals, and the manager of one restaurant fined for employing illegal immigrants.

The restaurants also face a 60-day deadline to address Occupational Safety and Health Act 85 of 1993 violations, or risk having their operations suspended.

“If compliance is not met within the 60-day period, it could result in a prohibition on operating the facility or using equipment,” Magcai warned.

#NationalMinimumWageExemption – Before an employer can apply for exemption, they must consult every representative trade union/workers and provide the bargaining council, union or affected workers a copy of the application downloaded from the system. https://t.co/ef13TX2ucP pic.twitter.com/ovGoheYjSO

— Department of Employment and Labour (@deptoflabour) September 15, 2024

Unpaid wages and other violations

Non-compliance findings revealed that one restaurant had underpaid employees by over R270 000, with cleaners owed R295 547. Waiters earned only through commission and tips, sometimes as little as R150 per shift, far below the minimum wage of R27.58 per hour. The restaurant where the manager was detained had employees working 12- to 15-hour shifts, breaching the Basic Conditions of Employment Act 75 of 1997.

At the second restaurant, waitresses were similarly only paid through tips and commission, with the employer owing over R813 969 in unpaid wages.

Both restaurants were also found to have violated the Unemployment Insurance Act 63 of 2001, with one failing to register with the fund and the other neglecting to submit monthly declarations. Additionally, they were in breach of the Compensation of Occupational Injuries and Diseases Act 130 of 1993, with one owing R72 000 to the Compensation Fund and both failing to submit returns of earnings or payroll information.

The Department of Labour also flagged numerous health and safety violations, including improper gas installations and machinery risks. Gas use in both kitchens has been prohibited until compliance is achieved.

Lastly, the employers were found in violation of the Employment Services Act 4 of 2014 and the Immigration Act 13 of 2002, according to Labour Minister Meth Makhosazana.