Backpacker exploitation scandal

Date: 10 May 2002

The CFMEU has today found 16 backpackers working construction on the Gazebo Hotel in Kings Cross at 100% less than local rates of pay. The backpackers were paid cash and appear to have been working without workers compensation insurance and without superannuation.

Their employer, Australian Development Corporation Pty Ltd, are strongly suspected of failing to comply with other Australian award and statutory obligations, including non compliance with Australian taxation laws.

The employer has also been using the backpackers for demolition work without the correct licence, and had the men removing synthetic mineral fibres without personal protective equipment.

The employer summarily sacked the backpackers this morning when they complained about their pay and conditions. A picket line is now up and "Stinky" the 25 foot high rort rat will be making an appearance at the Gazebo this morning to demonstrate to the Cole Royal Commission into the building industry that yes, there is a problem with employer tax rorting and exploitation of foreign labour in this country.

For further information

Contact:	Phil Davey
Union:	CFMEU
Phone:	0414 867188

LaborNET is proudly created, designed and programmed
by Social Change Online for the Labor Council of NSW
[Credits] [Site Matters]