Grill’d faces Australia's ‘first-ever' fast food strike over low-pay, 'unfair' conditions claims

Oct 19 2024 SBS News.
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Around 20 workers from Grill'd's Flinders Lane store took protected strike action on Saturday. Their union says it's the first strike ever taken by fast food workers in Australia.
Employees at a Grill'd store in Melbourne went on strike on Saturday, demanding fair pay and improved working conditions.
About 20 workers took industrial action for 12 hours starting at 11.30am AEDT on Saturday, amid negotiations over a new enterprise agreement.
The workers — who are members of the United Workers Union (UWU) — have accused the burger chain of using traineeship programs to underpay employees, claiming that some have earned just $14.90 an hour for years.
UWU national secretary Tim Kennedy told SBS News that "Grill'd is trying to dress up wage theft as a legitimate thing".
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"We actually think it's the first strike ever taken by fast food workers in total in Australia," he said.
What are the allegations?
The burger chain's business model offers a traineeship program to young workers known as Hamburger University.
As advertised by the company, it allows for the hiring of team members with no prior experience. Upon completion of the program, workers receive a Certificate of Hospitality.
A Grill'd spokesperson said: "Traineeships are a great way to provide skills, knowledge and leadership expertise."
However, UWU alleges that Hamburger University is a means for Grill'd to pay workers an "unfair wage" — as low as $14.90 an hour.
Several people wearing red T-shirts emblazoned with the words "United Workers Union" pose for a photo with their fists raised in the air. In the middle of the photo is an older man wearing a dark grey jacket (union secretary Tim Kennedy).
UWU national secretary Tim Kennedy (centre, wearing dark grey jacket) says Grill'd is trying to "dress up wage theft as a legitimate thing". Source:
"Grill'd had gained quite a bit of notoriety around forcing workers under these traineeships," Kennedy said.
"What's more, it's fundamentally subsidised by taxpayers to the tune of almost $30 million," he added, referencing a report into Grill'd's traineeship program by the Australian Financial Review in September last year.
According to the report, the total amount paid to Grill'd under the Coalition's flagship $5.8 billion trainee and apprentice wage subsidy rose to $28.3 million by July 2023, up from $16.6 million the previous year.
"Like any other fast food company, it makes enormous profits for its owners at the expense of young people doing important work," Kennedy said.
The company is worth about $450 million and has 172 outlets across the country.
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"More than 33 per cent of our restaurant managers commenced their careers as trainees and have progressed and developed to hold senior leadership roles," a Grill'd spokesperson told SBS News.
"The proposed new Grill'd Enterprise Agreement (EA) includes increased pay rates, higher salaries, and further benefits well beyond that of the industry award," it added.
"Our amazing team are excited by the proposed new EA and its terms and conditions — which provide an increased wage rate of more than 13 per cent versus current, and up to 23 per cent versus the award, for team members."
The Grill'd spokesperson told SBS News that "only 12" of its more than 4,500 employees "are known to be union members".
Kennedy maintains that employers like Grill'd put "enormous pressure on people not to collectively bargain", which leaves some fearful that joining a union is "bad for job prospects".
'No worker should live in poverty'
The majority of workers at the Flinders Lane store are between 18 and 25 years old.
Many of them say their struggle with dismally low wages has worsened their situation during an ongoing cost of living crisis.
UWU member Mitch from Grill'd Flinders Lane store said under the company's proposed EA, 18-year-old trainees would work for as little as $17.00 per hour, with no weekend penalties.

"The working conditions imposed by Grill'd on its staff would not pass muster in any other industry," Mitch said.
A large group of people, many of whom wear red T-shirts emblazoned with "United Workers Union" pose for a photograph.
The UWU alleges Grill'd is "notorious for forcing its workers to work on traineeships and youth wages".
"My crew and I reckon that no worker in this country should live in poverty, and we'll do everything we can to prevent it."
Some union members have even reported going without meals to keep up with the soaring rents in Melbourne.