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Part 7 Ten Pay Issue

Decent Essays
Part A – 7 Eleven Pay Issue.

Question 1:
7 Eleven is one of the Australia’s biggest convenience store chain owned by businessmen Russell Withers and his sister Beverley Barlow. It is claimed that the employees working over there are underpaid and made to work extra hours. (Abc.net.au, 2015)
A joint investigation was carried out by ABC’s Four Corners and Business Day and the investigation revealed that the employers were in fact underpaid. They were paid $10 per hour and made to work extra hours. The employees were also made to work extra-long hours and usually did the job for two people. They were not paid for the extra hours and working double. Moreover, they were also not paid penalty for working on Saturday, Sunday and public
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The company insiders said that the head office have been trying to hide the wage fraud by franchisees for years as 7 eleven’s profits would not be the same if this doesn’t happen. . (Smh.com.au, 2015)
They were 3 raids on 7 eleven in last 6 years and all the raids revealed the pay scam to be still present in 7 eleven. 225 stores were reviewed and found 69 stores to still have pay issues, this is equivalent to 1 store in every 4 stores to have pay issue. (Abc.net.au, 2015)

Question 2:
They are many ethical issues that can be raised in relation to 7 eleven. Kantianism theory: Kantianism theory of ethics says that acting rightly requires being motivated by proper principle that treats everyone with respect. Here, most of the employee’s working are overseas students who have much to worry about like college fee, rent, bills, expenses and without a job meeting every expenses is an impossible task, 7 eleven exploited the weakness of overseas students to their own advantage and so acted out of there character.
Working extra for no proper pay: The employees were made to work extra hours with no pay at all. The employees did the job for 2 people. They are national laws which states that no employee should be made to over work with a proper pay and breaks. But many of the franchise owners avoided the law. (Smh.com.au, 2015) Abuse of power: From the investigation it was revealed that not only the franchisee were
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