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"Exploitative" employer facing fresh FWO allegations
An employer that was recently fined $475k for "undoubtedly exploitative" underpayments is once again facing court, over allegations it should have known about its franchisees' Fair Work Act breaches.
The Fair Work Ombudsman announced this week that it was taking legal action against 85 Degrees Coffee Australia, the head franchisor of the 85°C Daily Café brand, which operates across NSW and the ACT.
It claims that 85 Degrees was liable, as a "responsible franchisor entity", for eight café franchisees allegedly underpaying nine workers $32,321 in 2019, and for record-keeping and pay slip breaches that affected 20 workers.
FWO Sandra Parker said 85 Degrees had been on notice "for many years" about compliance issues, and "should reasonably have known" that some of its franchisees would underpay their workers...
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