August 18, 2025

Bakery owner and company ordered to pay for migrant worker violations

bakehouse cafe
Photo source: Google Street View

The owner of a bakery in the Bay of Plenty town of Murupara and his company have been ordered to make payments for violations of immigration and employment laws concerning migrant workers.

On 14 August 2025, Ratha Ny, director of R.S.X Limited, operating as the Bakehouse Café, was sentenced in the Rotorua District Court. His company was fined $150,000 after admitting guilt to six charges of exploitation, including underpaying employees below the minimum wage and neglecting to pay correct holiday entitlements.

The company was also required to pay $25,000 in compensation for emotional harm, $10,000 each to two victims and $5,000 to a third. 

Ny made these payments prior to sentencing.

Apart from the court-ordered penalties, R.S.X Limited had previously reimbursed $160,000 in outstanding minimum wages to the affected workers under an agreement with the Ministry of Business, Innovation and Employment (MBIE).

The combined financial liability for the company and its director totalled $335,000.

Ny admitted guilt to four charges under the Immigration Act 2009 for giving false or misleading information to Immigration New Zealand. 

He received a sentence of 10 months’ home detention, with the court initially setting a 30-month imprisonment term, which was later reduced to 21 months after applying sentencing discounts.

“Exploitation is an issue that affects all of us. As well as affecting migrants directly, it’s detrimental for legitimate businesses which are undercut by these practices and to New Zealand’s reputation as a fair place to work, live and do business,” MBIE general manager of immigration compliance and investigation, Steve Watson, said.

“It’s rare for emotional harm payments to be awarded in these cases, so this outcome is a real win for the victims. It sends a strong message that the emotional toll of exploitation is being recognised and taken seriously,” he added. 

MBIE urged anyone who suspects workplace exploitation to file a report.

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