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Heston Blumenthal ousted from MasterChef amid underpayment scandal

<p>Network 10 has confirmed that Heston Blumenthal will not return to his guest judging role on <em>MasterChef</em> amid his wage theft scandal.</p> <p>Earlier this month Dinner by Heston restaurant, which was fronted by the celebrity chef, was revealed to have underpaid employees by more than $4 million. The restaurant had its <a href="https://www.broadsheet.com.au/melbourne/city-file/article/dinner-heston-blumenthal-close-end-week">lease terminated by Crown Melbourne last week</a> and is expected to be <a href="https://www.smh.com.au/business/workplace/heston-restaurant-owners-blame-partner-crown-for-underpayment-scandal-20200208-p53yzj.html">put into liquidation by the Federal Court this week</a>.</p> <p>The British chef will not appear on <em>MasterChef</em> in 2020, Network 10 officials have confirmed.</p> <p><span>“Heston has been a long-time member of the <em>MasterChef Australia</em> family, but he will not be appearing in the upcoming season,” a spokesman told the <em><a href="https://www.heraldsun.com.au/entertainment/confidential/blumenthal-ousted-from-masterchef-amid-pay-scandal/news-story/365f6d7dfb5bfb03dfb307c409ec87a3">Herald Sun</a></em>.</span></p> <p><span>The network offered no explanation on Blumenthal’s absence.</span></p> <p>“Season 12 of <em>MasterChef Australia</em> is currently in production, and we look forward to showing viewers our amazing new judges and an incredible cast later in the year on 10.”</p> <p>Dinner by Heston is owned by British-based company Tipsy Cake. Blumenthal is no longer a shareholder of the embattled business, but the company said he remains associated as chef patron.</p> <p>Tipsy Cake claimed a large part of the blame laid on Crown Resorts, which it described as a “partner”.</p> <p>“As a foreign company, Tipsy relied from the outset on the advice given by advisers in Australia and our partner Crown Melbourne, who were responsible for advising on the staff remuneration blueprint for the restaurant,” a Tipsy Cake spokesperson told <em><a href="https://www.smh.com.au/business/workplace/heston-restaurant-owners-blame-partner-crown-for-underpayment-scandal-20200208-p53yzj.html">The Age </a></em><a href="https://www.smh.com.au/business/workplace/heston-restaurant-owners-blame-partner-crown-for-underpayment-scandal-20200208-p53yzj.html">and </a><em><a href="https://www.smh.com.au/business/workplace/heston-restaurant-owners-blame-partner-crown-for-underpayment-scandal-20200208-p53yzj.html">The Sydney Morning Herald</a></em>.</p> <p>“As the financial effect became clearer, including the discovery that there were also significant overpayments of superannuation to some staff, Tipsy Cake tried to discuss constructively with Crown, to work together to find a solution which would be in the best interests of staff.</p> <p>“Regrettably Crown has not engaged with us or agreed to any proposal which was tabled in order to remediate the employees.</p> <p>“This is a complex issue and one that has affected a large number of industries and companies across Australia.”</p> <p>A <em>Sunday Age </em>investigation in late 2018 revealed that the Melbourne restaurant had been unlawfully underpaying its staff, with many of them working 20 to 30 hours a week unpaid.</p> <p>Blumenthal’s removal from the Channel 10 show came as former judge George Calombaris saw his restaurant business <a href="https://www.abc.net.au/news/2020-02-10/george-calombaris-restaurant-empire-in-voluntary-administration/11951504">put into administration</a> following a staff underpayment scandal.</p>

Food & Wine

On the brink of collapse: George Calombaris holds crisis talks over crumbling empire

<p>The restaurant empire of former<span> </span><em>MasterChef Australia</em><span> </span>judge George Calombaris is on the verge of collapse, according to reports.</p> <p>The business, Made Establishment, will meet this afternoon to decide whether to appoint a voluntary administrator, as reported by<span> </span><em>The Age</em><span> </span>and the<span> </span><em>Herald Sun</em>.</p> <p>The decision could jeopardise the jobs of 500 employees – but they will be fully compensated if the restaurants decide to close their doors for good.</p> <p>The development comes six months after the company was embroiled in an underpayment scandal, which garnered negative media attention especially for Calombaris.</p> <p>A Fair Work investigation into Made Establishment discovered it had underpaid over 500 workers a colossal $7.8 million.</p> <p>Calombaris issued an apology and was ordered to make a $200,000 “contrition payment”.</p> <p>Shortly after, Calombaris lost his biggest gig of all after Channel 10 dumped the celebrity chef from his role on<em><span> </span>MasterChef</em><span> </span>due to the scandal.</p> <p>Made Establishment is comprised of 18 Greek restaurants and fast-food outlets, all based in Melbourne.</p> <p>The business incorporates Greek street food joints Gazi and Jimmy Grants, and Brunswick East eatery Hellenic Republic, recently rebranded as Crofter Dining Room.</p>

Money & Banking

George Calombaris suffers embarrassing gaffe after underpayment scandal

<p>George Calombaris faced the biggest scandal of his career last year when it was discovered that he was underpaying his staff.</p> <p>And on Wednesday, the former MasterChef judge managed to embarrass himself even further as he raised money for the Australian bushfires.</p> <p>Taking the Instagram, the 41-year-old shared a post promoting the car dealership Remunerator.</p> <p>Remuneration means to pay someone for a service, something that George failed to pick up on.</p> <p>But despite the blunder, his promotional post was for a good cause, with Remunerator donating $250 from each order to The Salvation Army to help those displaced by the bushfires.</p> <p>In July 2019, Calombaris was penalised $200,000 and his hospitality company, MAdE Establishment was forced to pay 500 staff members $7.8 million as they had been underpaid between 2011 and 2017.</p> <blockquote style="background: #FFF; border: 0; border-radius: 3px; box-shadow: 0 0 1px 0 rgba(0,0,0,0.5),0 1px 10px 0 rgba(0,0,0,0.15); margin: 1px; max-width: 540px; min-width: 326px; padding: 0; width: calc(100% - 2px);" class="instagram-media" data-instgrm-captioned="" data-instgrm-permalink="https://www.instagram.com/p/B74jFTDD_kf/?utm_source=ig_embed&utm_campaign=loading" data-instgrm-version="12"> <div style="padding: 16px;"> <div style="display: flex; flex-direction: row; align-items: center;"> <div style="background-color: #f4f4f4; border-radius: 50%; flex-grow: 0; height: 40px; margin-right: 14px; width: 40px;"></div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center;"> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 100px;"></div> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; width: 60px;"></div> </div> </div> <div style="padding: 19% 0;"></div> <div style="display: block; height: 50px; margin: 0 auto 12px; width: 50px;"></div> <div style="padding-top: 8px;"> <div style="color: #3897f0; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: 550; line-height: 18px;">View this post on Instagram</div> </div> <p style="margin: 8px 0 0 0; padding: 0 4px;"><a style="color: #000; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: normal; line-height: 17px; text-decoration: none; word-wrap: break-word;" rel="noopener" href="https://www.instagram.com/p/B74jFTDD_kf/?utm_source=ig_embed&utm_campaign=loading" target="_blank">Had the pleasure of sourcing @gcalombaris his new @mini ! See what he had to say about his experience with @remunerator 💯 Remember until the end of February, $250 will be donated to the @salvosau for each new car ordered through Remunerator motor search to help with the bushfire crisis! #celebritychef #mini #cars #caradvice #newcar #bushfiresaustralia</a></p> <p style="color: #c9c8cd; font-family: Arial,sans-serif; font-size: 14px; line-height: 17px; margin-bottom: 0; margin-top: 8px; overflow: hidden; padding: 8px 0 7px; text-align: center; text-overflow: ellipsis; white-space: nowrap;">A post shared by <a style="color: #c9c8cd; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: normal; line-height: 17px;" rel="noopener" href="https://www.instagram.com/remunerator/?utm_source=ig_embed&utm_campaign=loading" target="_blank"> Remunerator</a> (@remunerator) on Jan 28, 2020 at 4:32pm PST</p> </div> </blockquote> <p>To make the entire situation worse, his former MasterChef co-stars, Matt Preston and Gary Mehigan were later announced as hosts of Channel Seven’s new cooking series<span> </span><em>Plate of Origin</em><span> </span>– but Calombaris didn’t make the lineup.</p> <p>In the last seven months, the celebrity chef has rebranded four of his popular venues.</p> <p>Despite removing his name from the restaurants, which are now led by new chefs, they are still owned by MAdE Establishment.</p> <blockquote style="background: #FFF; border: 0; border-radius: 3px; box-shadow: 0 0 1px 0 rgba(0,0,0,0.5),0 1px 10px 0 rgba(0,0,0,0.15); margin: 1px; max-width: 540px; min-width: 326px; padding: 0; width: calc(100% - 2px);" class="instagram-media" data-instgrm-captioned="" data-instgrm-permalink="https://www.instagram.com/p/B74c6HJFcp0/?utm_source=ig_embed&utm_campaign=loading" data-instgrm-version="12"> <div style="padding: 16px;"> <div style="display: flex; flex-direction: row; align-items: center;"> <div style="background-color: #f4f4f4; border-radius: 50%; flex-grow: 0; height: 40px; margin-right: 14px; width: 40px;"></div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center;"> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 100px;"></div> <div style="background-color: #f4f4f4; border-radius: 4px; flex-grow: 0; height: 14px; width: 60px;"></div> </div> </div> <div style="padding: 19% 0;"></div> <div style="display: block; height: 50px; margin: 0 auto 12px; width: 50px;"></div> <div style="padding-top: 8px;"> <div style="color: #3897f0; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: 550; line-height: 18px;">View this post on Instagram</div> </div> <p style="margin: 8px 0 0 0; padding: 0 4px;"><a style="color: #000; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: normal; line-height: 17px; text-decoration: none; word-wrap: break-word;" rel="noopener" href="https://www.instagram.com/p/B74c6HJFcp0/?utm_source=ig_embed&utm_campaign=loading" target="_blank">When I was looking for a cracking deal on a @mini I called my mate Matt @remunerator They have been in the business for 29 years (so they know what they’re talking about!) The deal they got me was unbelievable and they made the process quick & easy! So here’s the deal, order a car through these guys (Australia wide) before the end of Feb 2020 @remunerator will donate $250 from your deal to @salvosau to support those affected by the bushfires. Every bit helps. Email or call this awesome team novated@remunerator.com.au or 1800501703. GC xxxx🧿 #notspronsered #newcar #remunerator #bushfiredonations #carbuying #cars #novatedlease #caradvice #salvationarmy</a></p> <p style="color: #c9c8cd; font-family: Arial,sans-serif; font-size: 14px; line-height: 17px; margin-bottom: 0; margin-top: 8px; overflow: hidden; padding: 8px 0 7px; text-align: center; text-overflow: ellipsis; white-space: nowrap;">A post shared by <a style="color: #c9c8cd; font-family: Arial,sans-serif; font-size: 14px; font-style: normal; font-weight: normal; line-height: 17px;" rel="noopener" href="https://www.instagram.com/gcalombaris/?utm_source=ig_embed&utm_campaign=loading" target="_blank"> George Calombaris</a> (@gcalombaris) on Jan 28, 2020 at 4:06pm PST</p> </div> </blockquote> <p>When the underpayment scandal came to light, a tearful George sat down with the ABC pleading customers to support his business.</p> <p>“I love the people that have worked for me and I don’t want them to suffer right now,” he said.</p> <p>“Great restaurants are voted by bums on seats and obviously … don’t punish my people.</p> <p>“Just know that when you come into one of our restaurants, know when you pay the bill, that those … my people, are getting paid and paid correctly.”</p>

News

Woolworths’ $300 million wage scandal expands to include Dan Murphy’s and BWS staff

<p>Woolworths Group chairman Gordon Cairns has revealed that the Woolworths underpayment scandal – which saw close to 6000 workers underpaid by $300 million across a decade – also involved staff from liquor arms Dan Murphy’s and BWS.</p> <p>Speaking to shareholders in Sydney today, Cairns said Woolworths had “fully expected” to discover more cases across the business, “and we have”, though “not to the same extent as in the supermarket business.”</p> <p>Cairns felt that that the fact so many staff members were underpaid was “incredibly disappointing”, he said at today’s annual general meeting.</p> <p>“It was brought to our attention by three of our team members in February this year. We immediately investigated, found their assertions about their individual circumstances to be correct, and we remedied.</p> <p>“We then began an across-the-board investigation, which continues given we are checking every shift for every salaried team member back as far as this has been an issue or records exist.”</p> <p>He proceeded to say that he and CEO Brad Banducci were “accept[ing] responsibility by voluntarily taking reductions in [their] pay” with Banducci forfeiting his short-term incentive while Cairns would face a 20 per cent reduction in his director fees.</p> <p>Back in October, Banducci had said that he was fully prepared for his bonus to be cut due to the underpayment incident. Last financial year, he pocketed $2.66 million as well as $4 million in bonuses.</p> <p>“I fully expect to have a conversation with the board on the consequences of this and I fully expect it will be impacting bonuses for myself and maybe there will be other things that come out of it,” he said.</p> <p>“We apologise to our team, we’re going to make it right, but it’s a very complex issue.”</p> <p>Law firm Adero Law has filed a class action against the grocery giant, saying the total amount is over $620 million.</p> <p>“Adero is instructed that current and former Woolworths employees have suffered underpayments and systemic wage theft during their employment at Woolworths on a far greater scale than the retail giant has disclosed,” Adero’s website stated.</p> <p>But Woolworths said it will “fully defend” the proceedings.</p> <p>“In the context of its commitment to fully remediate all affected salaried team members, Woolworths Group believes the class action proceedings are without merit,” the company said.</p> <p>“Woolworths estimates that the one-off impact for remediation is expected to be in the range of $200-300 million (before tax).”</p>

Legal

BREAKING: Woolworths found to underpay workers by up to $300 million

<p>Woolworths has been found to underpay nearly 6,000 of its employees by as much as $300 million due to non-compliance with the industry award.</p> <p>In a statement released by Woolworths this morning, the company revealed that it has failed to pay approximately 5,700 of its salaried workers across its supermarkets and metro stores in compliance with the General Retail Industry Award.</p> <p>The underpayments were identified by the company after it reviewed its workers’ salaries prior to implementing the company’s newest enterprise bargaining agreement.</p> <p>Here, inconsistencies were identified between the workers contractual salary obligations and what they were entitled to be paid under the new award, according to the<span> </span><em><a rel="noopener" href="https://www.smh.com.au/business/companies/woolworths-underpays-workers-by-up-to-300-million-20191030-p535l5.html" target="_blank">Sydney Morning Herald</a></em>.</p> <p>"The review has found the number of hours worked, and when they were worked, were not adequately factored into the individual salary settings for some salaried store team members," the company said.</p> <p>"As a business we pride ourselves on putting our team first, and in this case, we have let them down. We unreservedly apologise," chief executive Brad Banducci said in a statement.</p> <p>"The highest priority for Woolworths Group right now is to address this issue, and to ensure that it doesn’t happen again."</p> <p>Underpayments could track as far back as 2010, and the company has estimated that the total cost of remediation is to be between $200 and $300 million.</p> <p>The company will make the first backpayments to the affected workers before Christmas. </p>

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