‘Ocean Basket broke minimum wage laws by paying staff with tips’

Government departments conducted a joint raid at eateries Babel and Ocean Basket in Pretoria on Sunday that resulted in the arrest of three people.

The labour and home affairs departments conducted a raid on the restaurants in response to allegations of exploitation made by a former Babel employee, whose recorded video went viral on social media.


On Monday, the Labour Department did, however, disclose in a media statement that the raid was carried out in response to a tip-off.

This saw the departments descend on the Menlyn restaurants.

The Department of Employment and Labour said that both eateries contravened the National Minimum Wage Age Act.

“At Ocean Basket, the waitresses were also remunerated on tips and commissions. The
amount the employer owes the employees is R813 969,” said Employment and Labour Minister Nomakhosazana Meth.

Thousands owed to employees

Meth further revealed that Babel Restaurant failed to comply with a section of the National Minimum Wage Act in that the employer failed to compensate the employees in accordance with the prescribed minimum wage rate for 2024, which is R27.58 per hour.

“The amount the employer owes the employees due to underpayment is estimated at R271 984.32 for cleaners and R295 547.28 for waiters and waitresses.

“Waiters were remunerated only on commission and tips at Babel Restaurant and some
were remunerated with as little as R150 per shift, at a maximum of R300 per week.
which is far below the national minimum wage.

“The workers at Babel Restaurant worked 12 and 15 hour shifts daily, which is in
contravention of the daily and weekly rest period provided for in the Basic Conditions
of Employment Act,” said Meth.

According to Home Affair’s provincial manager, Albert Matsaung, one employer was detained for hiring unauthorised immigrants.

“Three individuals faced charges. Two workers were charged for not having the proper paperwork to work in the establishment, and the owner was charged for hiring immigrants without the proper paperwork.”

“[They] are all prosecuted under the Immigration Act and its rules,” said Matsaung, adding that the accused will appear in court in 48 hours.

A matter of principle

Mihlali Nobavu, the young woman who documented her hardship as a restaurant employee in a series of viral videos that trended on social media at the weekend, is what sparked the raid.

According to Nobavu, she was employed without a contract and received no base pay.

Nobavu added that she had to give her runner, who assists wait staff in clearing tables and serving customers, a portion of the small tips she earned for working long hours (1pm to 2am) without taking a break.

“After the video went viral, some of the managers tried to contact me, but I have not been returning their calls or the messages,” she said.

“One of the managers went as far as sending me a private message on Instagram offering to refund me for the uniform and equipment in exchange for me to take down the video. 

“It saddens me because they think this is about the money; yes, I did incur financial loss, but this is more about the principle.

“I thought they would admit their wrongdoing and try to improve the working conditions of their employees, but I do not think they see themselves in the wrong.”

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11 COMMENTS

  1. They are too greedy ,they are playing with our children and grandchildren while they becomes.rich all they do is hiring illegal foreign ers. My grandson is also the victim at Ocean Basket,if your late they suspend you they’ll call you after a week. They don’t care about other people because they know people are desperate for employment.

  2. We are facing the same situation in Piatto Restaurant and Grill in Stoneridge shopping centre near Greenstone Mall ,we are working crazy extra shifts but when it come to monthend we r not happy with our salaries, when we complain they get annoyed telling us stories .Waitresses and waiters are complaining the same situation of not getting paid and paying brackage everyday its a lot plz we r appealing to the government to intervene cause its painfully.

  3. Well 95% of the restaurants are like that the employee’s are treated like sh*t ….I worked in few places in Pta including best restaurants the treatment it’s the same. Restaurants in SA are just a stepping stone pave yo way & leave in peace can’t be there forever for yo mental health.

  4. The practice of paying employees only commision and tips is forever going on in restaurants. It is also a practice in other industries . The moment commission is in the agreement employer gets away with paying minimum wage. The employer does not care if you make enough tips and commission to come by. Maybe the Department of Labour should start doing inspections in all industries and not only certain sectors like construction and engineering.

  5. This seems to be a general problem. People are desperate for a job and are being exploited. Commission plus tips and also having to contribute for a runner. If very quiet in restaurant, the take home pay is not even close to minimum wage. This is also happening in upmarket restaurant in Tygervallei Centre Bellville. Department of Labour should visit more restaurants.

  6. I personally don’t support or give out TIPS because employers in any business organizations should pay their employees from their business incomes and stop depending on customers budgets. It’s been years that I fight this kind of greedy manners especially from restaurants. What annoys most is where a TIP amount appears on the invoice. I really salute companies where they make it clear in writing that no TIPS to be given to the employees and with such rules customers are treated equally. This days restaurants are no longer maintaining hygiene because they are not interested with service but receiving lots of customers so that more TIPS are gained by employees. Even employees they will leave tables not properly cleaned but wiped off with one cloth all the way through out. I hate restaurants environments this days cos I have witnessed poor hygiene management. Same like using public toilets. Cleaners use one mop to wipe the pee and spread the same mop all the way in the bathrooms, toilet seats and around. There is a lot happening in this fast lazzy world

  7. I also face the same problem at Altitude Beach in Forways which my employer promised packages to the employees saying he is taking the Bussiness to The Resque Team monthenedof June 2024 up until today no one has been paid ,Tips owed to waiters and waitresses not paid up until now ,but my employer has got other businesses that he Runs ,making his own living while more than 150 people lost their job.All l need is help to get all my money’s owed to me

  8. Restaurants are famous for the so-called “two week training period”.
    With no commision, no tips and minimum hourly or eight hour shift wage, during the “training” period.
    The employee is told after two weeks, that they failed the “training”.
    But the employee can come back after two weeks to be given a second “training” oppurtunity. Or to give a friend of theirs a “traini ng” oppurtunity.

  9. I think health department shouldimplement.more hygiene rules and regular inspections as most restaurants if you go to the toilet you can see that they
    operate in a filthy way. I wonder if they teach there workers on to be hygienic.Scary to eat at restaurants nowadays.Dont know what happens in the kitchens.

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