Fair Work’s Challenge to Mantle Group Hospitality

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Company avoided paying workers penalty rates for 22 years

Mantle Group Hospitality (MGH) is owned by millionaire pub baron Godfrey Mantle and wife Jenny Mantle who run iconic Queensland venues like the Pig ‘n’ Whistle and Jimmy’s on the Mall in Brisbane’s crucial Queen Street Mall. But for decades, workers of MGH have been underpaid of their rightfully earned wages and entitlements. Now, Fair Work is finally challenging these wrongdoings.

Mantle Group has been exploiting a loophole in Australian law to deny their staff penalty rates for more than two decades. The Fair Work Commission labelled Mantle’s practice disgraceful, reflecting the general sense of injustice surrounding this company’s decision to take advantage of a long-expired agreement that provides no financial benefit to their employees. Mantle’s appalling stance is at odds with current standards of corporate social responsibility and fair employment practices that require businesses to pay their staff according to the applicable laws and regulations. It is also symptomatic of deeper problems within the system that allow companies like Mantle Group to use outdated legal provisions for unjust and unfair gain.

The Mantle Group is a successful family-owned enterprise comprising multiple companies and trusts incorporating Hospitality, Property Development and Mining. Established in 1979 by Godfrey Mantle, Executive Chairman known as “hospitality king”. The Mantle Group continues to be 100% privately owned and managed by the Mantle family today.

Spanning multiple business operations across South East Queensland and New South Wales their hospitality interests and venues include Pig ‘N’ Whistle, The Charming Squire, Jimmy’s on The Mall, Jacqueline’s Ridge, Mantle & Moon Coffee, Mayfair College, Milano, Phuc Deli-Viet, The Squire’s Landing, Babylon Brisbane, Babylon Rooftop in Sydney, The Lucky Squire, The Sound Garden, The Summit Brisbane at Mt Coot-tha and James Squire brew houses in Brisbane, Sydney and the Gold Coast.

The Unfair Agreement Used By Mantle Group Hospitality

MGH has been accused of wage theft by using so-called zombie agreements which include pay and conditions significantly less than those provided by the modern Award. Under this agreement, workers are underpaid weekend penalty rates, allowances such as working late or early, superannuation payments, and other entitlements they are due. Not only that, but they are also reportedly miss-classified to keep wages low and use hard-to-understand agreements to baffle workers into not understanding their rights.

Fair Work’s Challenge To The Zombie Agreement

However, after a long battle against this unfair agreement, Fair Work has now challenged its use by the Mantle Group Hospitality. It has been alleged that Mantle Group’s zombie agreement was in direct breach of the modern award that applies to their staff, particularly with regards to public holiday entitlements at its venues in Brisbane city and Sydney. So far, it appears that Fair Work has successfully taken legal action against some elements of this agreement as well as issuing compliance notices to ensure future compliance from the company moving forward.

Going Forward With A More Equitable Agreement

It is expected that going forward both parties will work together towards a more equitable agreement that ensures staff can continue working while still receiving their rightful wages and entitlements. This could be potentially beneficial for both employers and employees alike as it could create clearer guidelines on how much should be paid out per hour/week/month along with other workplace benefits such as additional leave days or sick leave policies among others benefits – all within reasonable limits set by both parties.

While it is unclear what will come out of Fair Work’s challenge to Mantle Group Hospitality’s zombie agreement, one thing is certain: something needs to change if young workers are going to get the fair pay they deserve for the work they do. Hopefully this challenge will finally put an end to years of miss-classification and wage theft so that young people can start getting compensated fairly for their work once again. It would be a win not just for them but also for businesses who want an ethical workforce backed up with concrete rules about compensation packages. Either way we will have to wait until further updates from Fair Work become available before we know how successful this challenge has been in bringing fairness back into play when it comes to compensating casual workers in hospitality industries across Australia.

If you are a hospitality worker impacted by the Mantle Group contact the Fair Work Commission for support.