On 5 June 2026, the Fair Work Ombudsman secured a $5,000 court penalty against Serotonin Eatery Exercise Education Pty Ltd, the operator of Serotonin Eatery in Burnley, Melbourne — a café that markets itself as the “world’s first happiness centre.”

The penalty was imposed because the company failed to comply with a Compliance Notice issued in August 2025. The notice required the business to back-pay a casual food and beverage attendant for underpayments of minimum wages and weekend penalty rates under the Restaurant Industry Award 2020. The worker was employed for a short period in November–December 2024.

The company only rectified the underpayment after the Fair Work Ombudsman commenced legal action.

Why This Case Matters

Fair Work Ombudsman Anna Booth made the message clear: “When Compliance Notices are not followed, we will continue to take legal action.”

This is not an isolated issue. In 2024–25 alone, the FWO secured more than $870,000 in court penalties for failures to comply with Compliance Notices. The fast food, restaurants and cafés sector remains a high priority area for enforcement.

A Compliance Notice is a formal tool the Fair Work Ombudsman uses when it believes an employer has underpaid entitlements. It gives the employer a clear opportunity to fix the issue without immediate court action. Ignoring it, however, exposes the business to additional penalties on top of the original underpayment.

Key Takeaways for Café, Restaurant and Hospitality Operators

• Compliance Notices must be taken seriously.Failing to respond or comply can lead to court action and extra penalties.
• Even short-term casual employment carries full award obligations.Weekend penalty rates and minimum rates still apply.
• The hospitality sector is under close scrutiny.The FWO has dedicated resources and tools specifically for this industry.
• Paying the underpayment after legal action starts does not prevent a penalty

Practical Steps to Stay Compliant

1. Regularly check that casual and part-time staff are being paid the correct Award rates, including weekend and public holiday penalties.
2. Respond promptly and thoroughly to any Fair Work correspondence, especially Compliance Notices.
3. Keep clear records of hours worked, rates paid, and classification under the relevant Award.
4. Use free Fair Work tools (Pay Calculator and industry-specific resources) or seek professional advice if you are unsure.

At HR Bridge Australia, we work with hospitality and SME operators to close compliance gaps before they become expensive problems. Whether it’s Award interpretation, payroll reviews, or responding to Fair Work notices, our focus is practical support that protects your business and your team.

If you have received a Compliance Notice, or simply want to check that your current pay practices are correct, we are here to help.