Lucy Vance is among University of Wollongong students being repaid by restaurants and cafes after they were each short-changed hundreds to thousands of dollars in wages.
Initially nervous about speaking out, she now believes it was necessary to confront the rampant exploitation of students in the university city.
On Tuesday, she received about $600 in her bank account after Fairfax Media highlighted her case and many others involving restaurants and cafes in Wollongong.
"It's obviously a nice start to uni. I can buy a few textbooks now," she said.
"I was a bit tentative at first, but I'm really glad that I actually did go through with it.
"It's been definitely worthwhile."
Ms Vance, 19, now works at a local pub for award rates and is studying for a combined arts/commerce degree.
When she questioned the rate of $12.45 per hour she was paid as an 18-year-old serving food and alcohol to tables she was told it was correct.
But she later discovered she should have been paid at least $17 to $18.47 per hour at the Lagoon Restaurant in March to June last year. Fairfax Media contacted Lagoon Restaurant for comment.
South Coast Labor Council secretary Arthur Rorris who helped Ms Vance and many other students reclaim money owed, said they were underpaid an average of $100 to $200 per week.
"We are looking at thousands of dollars for students in some cases," Mr Rorris said.
The Fair Work Ombudsman is also understood to be investigating the underpayment of the Wollongong students.
Chris Lamont, executive director of the Illawarra Business Chamber said: "We want employers to really check to make sure they are doing the right thing, which is why we at the chamber have a range of call service lines for employers and tailored programs to assist."
While Ms Vance had pay slips to prove how much she was underpaid, others including Ashleigh Mounser who uncovered a tsunami of underpayment after she reached out to other students with similar stories on Facebook, have been paid in cash without pay slips. Ms Mounser gathered complaints from students paid as little as $10 per hour by 60 employers most of which are within a three-square-kilometre radius.
Ms Mounser said businesses should be monitored to ensure they are not underpaying staff in the same way they are checked for occupational health and safety and responsible service of alcohol.
"I think it is important to stop it from happening again on this scale," she said.
Mr Rorris is helping Ms Mounser and her boyfriend Brian Sibanda negotiate a settlement over unpaid wages from cafes and takeaway food outlets.
"My boss and Brian's boss were interested in settling," she said.
NSW Labor spokesman for industrial relations Adam Searle joined Mr Rorris for a roundtable discussion at the University of Wollongong on Tuesday including representatives of the university and the Illawarra Chamber of Commerce.
Mr Rorris said students, business and unions all agreed the exploitation of students "can no longer be brushed under the carpet and we all have a responsibility to address it".
"The younger people we talk to are not even getting their correct ordinary rates of pay, let alone penalty rates," he said.
"The good news is the money has started flowing into the pockets of the young people who spoke up."
The meeting discussed proposals including changes to laws, tougher penalties for underpayment of wages and a requirement for businesses to display their rates of pay in the same way they display their business numbers and licences.
Mr Searle said unions and employers needed to help educate students and businesses about legal rates of pay. Students also needed to be more aware of their rights.
"We know these problems exist across the state," he said.
"There is lots of room for a state government to act if it needs to. We will develop a state Labor response in response to this disturbing exploitation."
