McDonald’s Pays Missed Wages – level 3
In 2003, Holidays Act law took effect in New Zealand, and many companies had problems in interpreting it correctly. As a result, employers miscalculated workers’ holiday pay.
Unite Union alerted the company McDonald’s to pay its 60,000 current and former employees their missed wages in the total of about $28 million dollars. McDonald’s spokesman said that about 40,000 people could be eligible for back pay. The company has agreed to pay back 10 years in missed wages which were calculated incorrectly.
Currently, Unite Union is fighting similar battles with companies Burger King and Armourgard.
The Ministry of Business must audit around 150 businesses, and New Zealand’s government is reevaluating the law.
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