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· Posted on
October 25, 2024

Grill’d is flipping healthy burgers and some unhealthy paychecks as it faces staff strike action

Grill’d has faced the first-ever strike action in the fast-food industry.

What's the key learning?

  • While loaded rates can simplify payroll for employers, it often hides the true value for employees.
  • Union reckons that the deal wasn’t genuinely agreed to because Grill’d did not explain its real effect to workers who might be missing out on benefits.
  • Now Grill'd is now being "grilled" over the matter so must come come clean or they might face further issues that might be damaging to its reputation as an employerand as a company.

👉 Background: Grill’d is the Aussie burger chain that specialises in 'healthy burgers' and delicious chippies. It launched back in 2004 and now has 172 restaurants Australia-wide and one in Bali.

👉 What happened: Now, Grill’d has faced the first-ever strike action in the fast-food industry. That's because it has been accused of paying thousands of workers below minimum industry rates in its latest pay deal.

👉 What else: Typically retail workers like Grill’d staff are paid according to Award rates, but this new deal was going away from the Award and focusing loaded rates. But the Union reckons Grill'd staff didn't quite understand the loaded rates as part of this offer.

What's the key learning?

💡Loaded rates are a method of calculating wages that combine base pay with allowances and penalty rates into a single rate. It can be used as a way to calculate rates, instead of certain entitlements under employment Award.

💡93% of Grill'd staff actually agreed to this new deal, but the union is concerned that Grill’d didn't explain its real effect to workers. While the base hourly rate was up 12%, the weekend rate was slashed by up to 20%.

💡Grill’d ain’t the only ones accused of using legal loopholes to pay staff less:

  • Chocolate shop Koko Black been accused of trying to 'game the system' on hundreds of workers, with pay rises of just 1% per year
  • Subway recently lost a case at the Fair Work Commission about its staff pay too.

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