7-Eleven urges franchising law changes as wage repayment continues

In the wake of its wage underpayment scandal, 7-Eleven is proposing a range of reforms to underpin ethical behaviour across Australia’s franchise sector.

The company is advocating for franchisors to have the right to immediately terminate a franchise agreement in the case of serious workplace law breaches, the harmonisation of the Oil Code and the Franchising Code of Conduct, the expansion of franchisor responsibilities and a review of conditions attached to student visas.

“It’s important the company takes the lead in effecting positive change that will preserve and enhance the industry’s reputation by setting standards that meet communication expectations,” 7-Eleven Chairman Michael Smith said.

“The proposals provide clarity of responsibilities, remedies and sanctions for everyone involved in the industry, and seek to significantly diminish the potential for companies and/or individuals to exploit workers.”

The statement came before another issued by the company seeking to clarify facts about its Wage Repayment Program.

7-Eleven says that despite allegations levelled in Fairfax Media, claimants were not required to meet a private investigator to progress a claim and that there was no requirement for claimants to provide multiple pay slips or visa information to progress a claim.

The company says that “claimants can be assured that 7-Eleven is unwavering in its commitment to the Wage Repayment Program so that franchisee staff receive their entitlements in a fair, efficient, consistent and timely manner. Any suggestions to the contrary are false.”

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