A combined Fairfax / Four Corners investigation has alleged that
7-Eleven stores across Australia have engaged in fraudulent
workplace practices including:
underpayment of wages;
falsifying payroll records; and
threatening illegal workers with deportation if they complain
about their wages or conditions.
Know your rights
While investigations by the 7-Eleven head office, the Fair Work
Ombudsman and the Department of Immigration and Citizenship are
ongoing, this scandal is a timely reminder to employers
minimum wage: the Fair Work Act 2009 (Cth)
(FWA) requires employers to pay their workers the minimum wage
prescribed by the relevant award or agreement. Underpayment of
wages can result in, amongst other things, court ordered
compensation to affected employees and penalties per breach of up
$6,600 for individuals who are involved in a breach; and
$33,000 for corporations.
record-keeping and pay slips: record-keeping
and pay slip obligations are prescribed under the FWA. Failure to
comply with record-keeping and pay slip obligations can result in
penalties per breach of:
$3,300 for individuals who are involved in a breach; and
$33,000 for corporations.
visas: it is an offence under the Migration
Act 1958 (Cth) to hire workers who do not have visa and work rights
in Australia. Civil and criminal penalties may apply to individuals
and corporations for employing illegal workers ranging from $3,060
And there were others ...
The Fair Work Ombudsman has commenced legal proceedings against
a 7-Eleven store in Sydney which allegedly underpaid 2 migrant
workers almost $50,000 and created erroneous records for the
The Federal Court of Australia held that a 7-Eleven store in
Brisbane had unpaid an international student the sum of $21,298 and
ordered the student to be back-paid his lost wages. The Court also
issued the 7-Eleven franchise owner with a $6,970 penalty.
Up, up – prices are up!
Did you know that Fair Work has raised the national minimum wage
by 2.5%, which may apply to your staff if they are covered by an
award? Have you passed on these increases to your workers? For
further advice regarding your obligations under the FWA and the
modern award regime please speak to one of our employment
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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An employee that refused a reasonable offer of settlement was ordered by the FWC to pay his ex-employer's legal costs.
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