Michael Hill may spend up to $25 million on staff underpayments

Company News

by Rachael Jones

Jeweller Michael Hill International (ASX:MHJ) is set to do a full remediation program after a review of retail employment contracts showed many staff were underpaid in the range of $10 million to $25 million.

The company fell short of requirements of the General Retail Industry Award for a number of their store-based workforce in Australia.

The Company has now started a more detailed review of all employee records, rostering practices and payments.

Newly appointed chief executive Daniel Bracken instigated the review, and worked with PriceWaterhouseCoopers to complete it.

It is not anticipated have any material impact on the underlying earnings of the Company for FY20 or any future financial years.

Shares in Michael Hill International (ASX:MHJ) closed 0.88 per cent higher at $0.57 yesterday.

Rachael Jones

Finance News Network
Rachael comes to FNN after working for Fairfax Media covering international breaking news, including the global economy and politics. She joined FNN in February 2018. She has reported on Australia’s finance news for various organisations since 2000 and has also interviewed a number of key business players, including Bill Gates. Rachael has also worked across a number of countries, including the UK and the US.