Lush Australia admits its underpaid staff is $ 2 million, payroll errors could affect 5,000 employees



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Updated

July 17, 2018 13:45:08

The Lush cosmetics company has launched a $ 2 million overdue payment system after admitting it's under -paid 5,000 employees.

The company claims that it did not update the payroll infrastructure
  • She apologized and insisted that the question no # 39; was not intentional
  • The company has dozens of stores in Australia
  • The director of Lush Australia, Peta Granger, said the error was due to the failure of updating the payroll infrastructure of the company

    "What we see alarming is that our internal payroll systems do not keep pace with our growth." Ms. Granger said

    "It was irresponsible to imagine that such a manual and obsolete system could work for a company of our size."

    "We are sincerely sorry to let our staff hurt as well." 010] " We hope that they can forgive us for this monumental mistake. "

    " We are devastated "

    The company has first surveyed the error last August, pushing an internal investigation, and committed to investing 1.5 It was a custom system that would reinstate about 200,000 timesheets historic.

    "It was a horrible moment, completely mortifying," said Ms. Granger.

    "We would never pay our staff intentionally. 19659010] "We are ravaged to have had problems."

    The company expects the affected employees to start receiving retroactive payments only in December, but the payments will include interests.

    Lush's support director, Amy Lyons, said the problem had taken eight years to be identified due to a lack of oversight.

    "Most of the time, our staff raised their individual pay issues with their direct manager, so that no one could monitor the end-to-end process and spot a trend," says Lyons.

    Lush was founded by Mark Constantine and Liz Weir in 1995, who began making herbal hair products for salons in Poole, a southern coastal city.

    The company spoke to hundreds of Sydney-based manufacturing employees on Tuesday and presented a video of apologies to retail staff across the country.

    The company's website describes his debut as "humble", with Mo, the wife of Mr. Constantine and several others who are joining the operation to provide their products to The Body Shop.

    Lush expanded to Australia in 1997 and now has dozens of stores across the country.

    Topics:

    business-economics-and-finance

    industrial relations,

    retail,

    Australia

    Published

    July 17, 2018 12:06:02

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