A hotel chain in Manitoba has been ordered to pay over $100,000 to three foreign workers following a decision by the province’s labour board that dismissed the company’s appeal. The Western Star Inn & Suites failed to provide supporting documents and presented unreliable witnesses in its case against the workers at its Melita location, as stated in the board’s ruling on Tuesday.
During the summer hearings, the labour board heard disturbing testimonies about the harsh treatment of employees, including long working hours, stressful conditions, and inadequate training and staffing. The company’s appeal was rejected after witnesses testified about unfulfilled promises of work permits and safety concerns, although the board could only address Manitoba labor code violations and unpaid wages.
The board found the statements made by witnesses for the hotel chain to be inconsistent and unreliable, especially regarding the employment status of one worker, Victor Padilla Ruiz. The payroll manager’s statements were deemed illogical and not in line with proper business operations.
Western Star was ordered to pay Padilla Ruiz approximately $86,500 based on his hourly rate from an employment agreement, while two other workers, Montserrat Del Toro and Rajbinder Gill Mathias, were to receive around $23,100 and $28,300, respectively. Del Toro, a Mexican national, was paid irregularly and below minimum wage, leading to her claim for owed wages.
Gill Mathias, who worked at various locations under the company, including the Melita hotel, highlighted discrepancies in her pay and treatment. She stated that she had been coerced to withdraw money from her bank account by the company’s director. The board ordered repayment of the withdrawn amount but rejected a further claim of $7,000 she believed was wrongfully withheld.
The board mentioned that Del Toro’s claim for wages earned at a hotel in Saskatchewan was outside its jurisdiction, as there was a separate proceeding in that province. In a similar vein, Western Star was deemed ineligible to hire temporary foreign workers due to unpaid penalties. The company had faced fines for non-compliance with employment regulations for foreign workers.