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Fair Work Commission rejects 7-Eleven pay deal

A pay deal for exploited 7-Eleven workers has been quashed after it was revealed they would be underpaid by about $80 a week.

The Fair Work Commission rejected an enterprise agreement set out by a 7-Eleven franchise in Sydney, due to failing a test by the commission to make sure workers were overall better off compared to award wage prices, Fairfax Media reported.

In September, 2015 a Senate inquiry was launched into the convenience store giant, following allegations thousands of workers were underpaid by franchise operators.

• 7-Eleven has been ‘underpaying wages for years’
 7-Eleven denies ‘widespread wage rorting’
• 7-Eleven slammed for payday social media joke

Former workers also claimed the company charged employees from $30,000 to $70,000 to sponsor them on their visa.

Commissioner Julius Roe said considering that 7-Eleven stores operated 24 hours a day, the potential for workers to be rostered on to work a large chunk of nights and at the weekend “was not fanciful”.

Commissioner Roe said: “the salary proposal failed the ‘better off overall’ test”.

He said the employer should be able to make the decision of any shortfall in wages, which workers may be unable to determine.

“Further submissions were received from the applicant but I was not satisfied that the loaded hourly rates were sufficient to ensure that employees who worked a considerable proportion of their working hours on weekends would be better off overall,” he said.

“If an employee is unaware that they have received less than the award and or fails to make a request to the employer for a reconciliation then they will not be better off overall.

“Furthermore, it is a matter for the employer to determine if there is any shortfall. How this calculation is to be made and what factors are to be included is not specified.”

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