THE Fair Work Ombudsman has recovered $281,729 for 305 underpaid food outlet employees in Newcastle, following surprise inspections.
Inspectors recently investigated 43 businesses in the area's fast food, restaurant and café sector - mostly 'cheap eats' venues.
The action came after what the ombudsman's office described as intelligence from a range of sources, including anonymous reports.
Investigators found workplace law breaches at 30 food outlets across Broadmeadow, Cameron Park, Hamilton, Islington, Maryland, Mayfield, and Merewether.
Twenty-nine were stung for underpaying or failing to pay penalty rates to staff - including evening and night rates, as well as weekend, public holiday and casual loading.
Nineteen businesses were found to be paying less than minimum wages for ordinary hours.
The ombudsman's office issued 26 compliance notices, which recovered $277,006 for 302 workers - with a single outlet being ordered to pay $82,583 for underpaying two employees.
Three workers received the pay owing to them without a compliance notice needing to be issued.
Eight infringement notices were issued, resulting in $22,497 worth of fines, for payslip and record-keeping breaches.
"These disappointing Newcastle findings are part of a national food precincts program where we've often found that low-cost dining comes at the expense of workers' lawful wages," Fair Work Ombudsman Anna Booth said.
"Employers must follow all wage laws, including penalty rates which generally serve as compensation for those working at times when most people are not. Those doing the wrong thing are being found out and held to account.
"Employers should access our wide range of free online tools and resources to ensure they're meeting their obligations, or contact the FWO directly for free advice. We want to help businesses in the food sector get it right in the first place.
"We also urge workers with concerns about wages and entitlements to reach out to us - including anonymously if preferred."
