7-Eleven Australia announces independent investigation into wage scandal
Former Australian Competition and Consumer Commission boss Allan Fels will lead an independent wage scandal investigation, launched by 7-Eleven, after claims of widespread underpayment at the company's Australian franchises.
ABC´s Four Corners programme uncovered a national wage scandal by exposing 7-Eleven Australia franchises allegedly exploited foreign students by paying them less and making them work more hours than their visa permits allowed.
“The bottom line is, what has happened with franchisees not meeting their employer obligations has happened on our watch, and we are going to make this right,” said Russ Withers, Chairman of 7-Eleven.
Professor Fels will lead the Independent Franchisee Review and Staff Claims Panel, along with former Consumer Affairs Victoria Director and Prices Surveillance Authority chair, Professor David Cousins. The main aim of the panel will be to compensate unpaid labours, according to Fels.
“There is no doubt that Allan Fels, whose position on this issue is well known, will fulfil this role without fear or favour. He is staunchly independent, and with the support of Deloitte’s forensic accountants, I am confident his involvement will help ensure 7-Eleven pays all approved claims promptly,” Withers added.
The convenience giant has more than 600 franchised stores across Australia; they serve around six customers every second and generate more than $3 billion in sales.
