Hotel and managing-director to face court for allegedly underpaying two workers

4 February 2010

The Fair Work Ombudsman has launched a prosecution against the operators of a Tasmanian hotel for allegedly underpaying two workers more than $8500.

Facing court is Lufra Investments Pty Ltd, a Brisbane-based company which operates the Best Western Lufra Hotel at Eaglehawk Neck, east of Hobart.

The Agency is also prosecuting Lufra Investments managing-director John Shepley, of Brisbane.

Documents lodged in the Federal Magistrates Court in Hobart allege the company failed to pay entitlements totalling $8592 to two employees when they resigned in December, 2007 after having worked at the Best Western Lufra Hotel for three years.

The workers, a man and woman, were allegedly each owed $4296 in wages and superannuation for their final month of work and accrued annual leave entitlements.

The female worker was employed to perform cleaning and gardening duties and the male worker was employed to perform various hospitality duties.

It is alleged that Lufra Investments back-paid the workers most of the money owing in October last year but still owes them $300 each.

Mr Shepley was also allegedly involved in Lufra Investments failing to pay the workers at least fortnightly and failing to keep proper employment records.

Fair Work Ombudsman Tasmanian Director Glenn Jordan says the decision to prosecute was made because of the amounts involved for the individuals and the employer’s delay in fully rectifying the matter.

The Fair Work Ombudsman alleges Lufra Investments and Mr Shepley committed several breaches of workplace relations laws.

The maximum potential penalty per breach is $33,000 for Lufra Investments and $6600 for Mr Shepley. The case is listed for a directions hearing on February 24.

The Fair Work Ombudsman promotes harmonious, productive and co-operative workplaces. It also monitors compliance and investigates breaches of national workplace laws.

Employers or employees seeking assistance should contact the Fair Work Infoline on 13 13 94 or visit For translations call 13 14 50.

Media inquiries:

Craig Bildstien, Director Media & Stakeholder Relations,
0419 818 484

Ryan Pedler, Media & Stakeholder Relations Senior Adviser
(03) 9954 2561, 0434 365 924

Want to save this information for later?

If you might need to read this information again, save it for later so you can access it quickly and easily.


Page reference No: 4617