Super Retail Group has admitted that the staff paid an additional $ 8 million – after it had previously revealed that it owed employees $ 53.2 million in arrears.
The announcement comes when the company’s net profit falls by 20 percent in the first half to $ 57.4 million, despite modest revenue growth in the light of drought and forest fires.
Turnover of the company, which owns Rebel Sport, Supercheap Auto, BCF and Macpac, rose 2.9 percent to $ 1.44 billion.
The group has updated its total team member reimbursement estimate from $ 53.2 million as of December 2018 to $ 61.2 million as of December 28, 2019, excluding execution costs.
The estimated increase of $ 8 million since December 2018 has resulted in half in $ 9.5 million after tax.
Super Retail Group, which owns Rebel Sport, Supercheap Auto, BCF and Macpac, has updated its total team member reimbursement estimate from $ 53.2 million to $ 61.2 million
The Queensland-based company said the total cost of carrying out the remediation including the previous period was $ 8.6 million after tax.
“The total amount of underpayments for retail manager and set-up team members is lower than initially estimated,” they said in a statement.
Super Retail Group said it had identified additional team members who also suffered from overtime.
Regarding the effects of the corona virus, the company said, while a “significant proportion” of the group’s products came from China, only two factories were used in Wuhan, the city of Hubei province at the epicenter of the outbreak
“There is no expectation of a material impact on product availability in the short term, given the current inventory levels,” the ASX said Thursday.
“The Group will continue to monitor current developments in China and make appropriate emergency planning.”
Chief executive Anthony Heraghty said after the ‘extraordinary weather’ of the summer, he now saw positive trends in the company, with sales momentum improving in Supercheap Auto, Rebel and Macpac.
Supermarket giant Coles admitted that he underpaid 1,150 employees for six years
Wesfarmers announced Wednesday that employees at Target were being starved out of wages of $ 9 million
Super Retail Group announced an interim dividend of 21.5 cents per share, fully prepaid, in line with a year ago.
The company is the last to be entangled in an apparent wage scandal in Australia – it is joining a growing list of retailers and companies, including Coles, Wesfarmers and Woolworths who report wage errors in their half-year results.
It was revealed in October that Woolworths underpaid its employees by as much as $ 300 million in nearly ten years, while the ABC, Qantas, Super Retail Group, Michael Hill Jewelers, Commonwealth Bank, Bunnings, Rockpool Dining Group, Sunglass Hut, 7-Eleven and The hospitality group of George Calombaris, MAdE, have also admitted too little wages.
On Wednesday, Wesfarmers identified in his results for the six months to December 31 a $ 9 million payroll for Target and a $ 15 million cleanup in his industrial and safety division.
Wesfarmers also admitted that it had discovered underpayments at Bunnings and its industrial companies
“Following the previously identified wage errors, the Wesfarmers companies conducted extensive assessments of their respective wage systems and processes,” the company said in its release to the ASX.
“As a result of these assessments, some additional wage errors have been identified.”
CEO Rob Scott said that “immediate steps” were taken to rectify the situation and to pay back the affected employees.
On Tuesday, Coles announced it was expecting a hit of $ 20 million after managers in the supermarkets and the liquor department were underpaid for the past six years.
The cause of the underpayment, reportedly affecting 1,150 employees, was due to discrepancies between their remuneration and the General Retail Industry Award (GRIA).
Coles boss Steven Cain apologized to the affected personnel team and said it will completely “resolve all differences.”
AUSTRALIAN COMPANIES CAUGHT IN PAYMENT OF STAFF:
Wesfarmers: In its results for the six months to December 31, the company identified a $ 9 million cleanup restructuring for Target and a $ 15 million cleanup in its Bunnings industrial and safety division
Coles: Supermarket giant admits that $ 20 million is underpaid for his team members employed in his supermarkets and liquor stores for at least six years.
Woolworths: Company owes 5700 employees, a whopping $ 300 million in underpaid wages of more than nine years.
Dinner By Heston: High-end restaurant business, which was run by famous chef Heston Blumenthal, owes staff at least $ 4.5 million.
George Calombaris: Celebrity Chef’s restaurant has paid more than 500 current and former employees for an amount of $ 7.83 million. In 2017, Calombaris was found guilty of underpaying 162 of his employees in total up to $ 2.6 million.