Pay Packet Review for National Pizza Franchise

La Porchetta Franchising will review the records of a third of its 65 Australian stores to check that workers are receiving their proper wages and conditions following action by the Fair Work Ombudsman.

La Porchetta has agreed to the actions as part of a Proactive Compliance Deed (PCD).

Earlier this month, the operators of two La Porchetta restaurants were fined a total of $334,818 following an investigation and litigation by the Fair Work Ombudsman.

The Fair Work Ombudsman found that 111 mostly teenage employees - one as young as 13 - had been underpaid a total of $258,000 between 2009 and 2012 when they worked at La Porchetta franchise outlets at Pakenham and Berwick.  

The companies which operate the restaurants - Bound for Glory Enterprises Pty Ltd and Zillion Zenith International Pty Ltd - have each been fined $139,507.50. Ruby Chand, the owner of both franchises, has been penalised a further $55,803.

The Federal Circuit Court also ordered the two companies to back-pay more than $79,000 in outstanding entitlements to those employees not yet fully reimbursed.

Under the terms of the Deed announced today, La Porchetta has agreed to provide new franchisees with employment induction training and employment packs covering key aspects of workplace laws.

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