The former directors of a Dunedin based taxi company have been found personally liable for the outstanding $100,000 owed to its drivers.
The Employment Relations Authority (ERA) has ruled that Ronald and Maureen Grant are personally liable to pay four former employees a combined $97,735 in minimum wages and holiday pay arrears who were found by the authority to have been employees of the business but treated as contractors.
The couple claim they did not know they had breached employment law when they failed to provide the taxi drivers working for Southern Taxis with the correct employment entitlements. An ERA member described this as "wilful blindness".
An earlier ERA determination ordered Southern Taxis, which previously held contracts for Southern District Health Board and Dunedin Airport taxi services, liable for the wages however the business has since changed hands and the company is no longer responsible to pay the areas.
Labour Inspectorate regional manager Jeanie Borsboom said the Grants knew the difference between contractors and employees.