Hotel cleaner awarded payout after $10-a-room pay scandal expose

Fair Work Commission ruling exposes below-award pay and a text message sacking at a Victorian motel.

Last Updated:

September 16, 2026

By

Tim McDonald

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A 67-year-old cleaner employed at the Kaniva Midway Motel in Victoria secured a substantial payout after the Fair Work Commission found her dismissal harsh, unjust and unreasonable, in a case that exposed the risks facing vulnerable workers in informal cleaning arrangements.

Employed between March 2025 and February 2026, the cleaner was paid according to the number of rooms she completed, averaging just $10.30 per room across shifts that frequently ran seven days a week for a minimum of 3.5 hours. Commissioner Ben Redford found no payslips, no tax file declaration, no superannuation contributions and no written contract existed throughout the engagement, despite payments flowing from the account of Neela Motel Pty Ltd, the operator behind the property.

Delays and missing payments forced the cleaner to repeatedly chase her manager, Jasvir Singh, for wages owed. Her employment ended abruptly by text message after one such enquiry, with the message informing her that her services were no longer required.

Commission finds clear signs of control

Commissioner Redford determined that the level of oversight exercised by the motel, including instructions on which rooms to clean and what tasks to complete, pointed firmly towards an employment relationship rather than genuine contracting. He described the arrangement as one exploiting a vulnerable older worker, pointing to the physical toll of continuous seven-day rosters.

Redford found no valid reason for the dismissal linked to conduct or capacity and no opportunity was given for the cleaner to respond before her termination. He also noted the tone of the dismissal itself, calling it disrespectful in its form.

The Commission ordered $16,472.82 in remuneration, less taxation, alongside a $1736.74 superannuation contribution. Redford referred the operator to the Fair Work Ombudsman for further investigation into the broader arrangement.

Warning for operators cutting corners

Employment lawyer Patrick Will of Liquid Employment Lawyers said the ruling sends a clear signal to employers relying on informal or off-the-books arrangements within cleaning and hospitality settings. He said cutting corners on termination processes almost guarantees a finding against the employer, and that classifying workers outside standard employment structures does nothing to limit legal exposure once a high degree of control is established.

Will added that paying piece rates instead of award wages leaves businesses open to significant back-payment liabilities, Commission compensation orders and referrals for further penalties.

The case serves as a pointed reminder for cleaning contractors and hospitality operators alike that payment structures built around output rather than award compliance carry substantial legal and reputational risk, particularly where vulnerable workers are involved.

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