Breadtop strikes deal over underpayments
EWIN HANNAN
The Australian
January 23, 2014
NATIONAL bakery franchise Breadtop has struck a compliance agreement with the federal workplace watchdog after complaints from overseas students that they were underpaid wages.
Breadtop, which has 65 stores across the country, signed the Proactive Compliance Deed that operates as a self-audit process and reviews the pay and conditions of 800 employees.
The Fair Work Ombudsman received 11 complaints from Breadtop employees in South Australia and Victoria between March 2011 and April last year.
All of the complaints were from overseas students. The complaints were marked for further action by the ombudsman and were part of the reason the deed was proposed.
Two employees were backpaid a total of $2000, and the rest of the complaints have now been resolved satisfactorily.
Under the terms of the deed, Breadtop commits to ensuring its compliance with workplace laws.
As part of a self-audit, Breadtop and its franchisees will scrutinise the pay packets of up to 10 per cent of their workforce.
Fair Work Ombudsman Natalie James said Breadtop had shown leadership to the rest of the franchising industry.
"Recognising that problems may sometimes occur with payment of correct wages and entitlements, Breadtop will be asking its franchise holders to pay careful attention to the minimum hourly rate, loadings, allowances and penalties," Ms James said.
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