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Case Study : ' Half Pay ' Scam '

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CASE STUDY 3 Ans- 7 Eleven is the biggest convenience store in Australia. It has approximately 24,000 stores in worldwide and now is under fire for paying many of its staff as less as $10 without tax per hour. A joint investigation team ABC’s Four Comers and Business Day found a secret, illegal, cooperation and conspiracy between the Franchises that is known as’ Half-Pay ‘scam. There are many horrible stories of Sam Pen dam and many more people and student that caught in Scam. Terrible internal reports reveal that between July and August this year 7 eleven head office reviewed the payroll compliance at 225 stores and found that 69 stores had ongoing payroll issues. To deal with these…show more content…
Furthermore through this duty of commitment to ongoing education and leadership by some franchisors is even more complicated in franchises network where a number of franchises and their staff members come from different culturally diverse environments and backgrounds and may not be know with the concept of statutorily legislated minimum wages and conditions of workplace agreements. But the main question about the moral obligation how franchisors view their corporate responsibility, and if the main purpose of their business to increase the profits to care for the workplace and personal well-being of everyone which include in the business. The Fair Work Ombudsman has said it will be excepted from the franchisors to take more responsibility and pay greater attention to workplace compliance by their franchisees. On the other hand Fair Work Ombudsman suggests that encourage about Proactive Compliance Deeds for Business to more understand and comply with workplace Laws, and to ignore the adversarial measures like as Litigation. There is no legal requirement to accept these actions, but businesses benefit from improved training, systems, communication, self-auditing and self-resolution and set the standards of best practice for their franchisees and their staff to observe and follow them. Implications / Remedies Implications for the 7 eleven are we can say that the owner of the stores or 7 eleven does not pay the legal pay
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