ERA orders contracting firm to pay $30,000 for migrant exploitation on Hawke's Bay vineyard

Workers were hired by a contracting firm to work at a Hawkes Bay winery for no pay.
Workers were hired by a contracting firm to work at a Hawkes Bay winery for no pay. Photo credit: Newshub.

The Employment Relations Authority (ERA) has ordered a contracting firm to cough up $30,000 after it was found migrant workers were exploited in New Zealand's oldest winery building.

The ERA released a statement on Wednesday saying Te Mata Estate Winery, based in Hawke's Bay, had 12 Papua New Guinea citizens working at the vineyard, hired by ICM Horticultural Contracting Ltd, for no pay.

The ERA heard Martha Fretton, the owner-operator of ICM, was under the impression she was providing training to the group of 12 workers, so they could learn about working on vineyards as part of a "global exposure" programme.

A vineyard manager at Te Mata said they understood they were recognised seasonal employer (RSE) workers.

Fretton was ordered to pay $30,000 in penalties for 60 employment standards breaches labelled as "gross negligence".

Action has also been taken to liquidate ICM and contribute to the $30,000 penalty.

The labour inspectorate estimated ICM owed more than $31,000 in unpaid wages and holiday pay to the 12 workers, which it has also been ordered to pay.

The workers were brought to New Zealand by Christina-Kewa and Antony Swarbrick, using the trading name Global 4040. Christina-Kewa claimed she brought them to the country for an "educational experience".

However, the ERA found this was not the expectation of the workers.

"Employers need to be mindful of the risk of employment law breaches in the supply chain," Labour Inspectorate manager Kevin Finnegan said.

"Such exploitation can be damaging to the wellbeing of vulnerable workers but also to the business in terms of branding."

Newshub.