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Immigration Daily News Amnesty for student-visa workers caught for exceeding work hours limit
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Amnesty for student-visa workers caught for exceeding work hours limit
Thousands of student visa holders have been exploited by the 7-Eleven chain of stores across Australia, according to a joint investigation by ABC Four-Corners and BusinessDay. A 7-Eleven ‘insider’ on the report alleged that if franchisees were forced to pay the correct wages, at least 140 of the 620 stores would be unsustainable.
The revelations had one of 7-Eleven's most savage critics, former ACCC head Allan Fels posting on a blog that the only way 7-Eleven franchisees could make money was by ripping off their workers. Some reports allege that many workers were paid $10 an hour before tax – well below the award rate of $24 per hour. The reports also allege that the company's own figures suggest up to two-thirds of its stores are underpaying their workers.
Professor Fels has subsequently removed that post and has been appointed to head an inquiry funded by 7-Eleven to investigate the alleged rampant wage fraud and cover-up by the head office.
With both the Labor Party and the Greens calling for a pardon of student-visa workers caught in the scandal, the Abbott government has now announced that it is considering amnesty for these workers.
According to the ABC/BusinessDay report – which revealed the widespread exploitation of 7-Eleven staff – the majority of the company’s staff are foreign students who are only allowed to work for up to 20 hours per week. But most of them work for over twice that amount of time for less than half the award rate. This puts them at risk of deportation for a breach of their visa conditions.
The Shop, Distributive and Allied Employees Association (SDA) – the union that covers the industry – has been accused of failing to protect 7-Eleven employees. The SDA has now reportedly set up a hotline and website to help 7-Eleven workers make claims against the company.
7-Eleven has agreed to buy out any franchisees who want to sell their stores since the exposé on the retailer’s exploitation was publicised.
It is reported that 7-Eleven generated earnings before interest and tax of $143 million in 2015, helping boost the wealth of co-owner and chairman Russ Withers and his sister Bev Barlow to $1.5 billion.
Comments
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Tuesday, 08 September 2015I guess the problem is this...Students need to work to help support themselves during their stay. The 20 hours per week limit is pretty low and encourages non compliance as employers are in effect pressuring these staff members to work "normal" hours. The system lends itself to a non compliance model and plenty of workers are being exploited in these jobs and in effect work substantial hours off the books. This is simply not acceptable and undermines the availability of these opportunities for employment to the 800,000 or so unemployed Australian citizens or permanent residents. .http://www.abs.gov.au/ausstats/abs@.nsf/mf/6202.0
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Wednesday, 09 September 2015What about the Eagle Boys Pizza??
Most of the Eagle Boys Pizza operating by "Indian" Background owners in Sydney. Do not pay fair wages to their employees whether they are International student or local. They pay 10 to 12 AU Dollar and pay tax from employees plus do not give payslips. So they can save their ass. Same like 7-eleven.
It needs an investigation.
Immigration blog
You can't just blame 7-Eleven for this. Students are just as guilty of not being genuine. Whether they have been enticed by hearing from friends, family or con artist about getting good jobs in Australia, they have a choice to take the job. I have heard other more well known organisations doing this as well. Although there are guidelines for franchisees to follow recommended procedures, at the end of the day, if they are making profit, the head office will close a blind eye to the way a franchisee will operate their business.
I have heard that Korean students are sometimes paid only $5 an hour because they have poor English skills. Once again, if the employee is willing, they should not be deemed entirely innocent. I do not agree that these students should get amnesty. If they invest in improving their communication skills, then maybe they would not be abused by 'shonky' franchise owners.
We have to stop the flow of students thinking that Australia will tolerate non-genuine students arriving on our shores on student visas and not actually going to school, but working ridiculous hours to gain pittance for wages. Many RMAs avoid student visas because it doesn't really pay. When non-registered RMAs are willingly assisting (illegally) to help students get their visas, why would they want to pay for proper advise so that the student is aware of their rights an obligations.
It's a short sighted goal to come to Australia, work for low wages and hoping that they can complete a cheap qualification, then hope for a sponsor (often not under genuine circumstance). We all know this happens, no matter how we want to pretend it doesn't happen.
DIBP should also be more consistent. I have noticed that when an applicant applies on their own, DIBP is usually more lenient. I informed a student that it would not be easy to assist in a student dependent visa when the couples have just only married. When I lodged an application for my previous client, I was asked to prove the relationship. When this particular applicant who was not willing to pay my fees applied on their own, supplied only his passport and marriage certificate and the visa was approved (no submission letter, photos, bills, etc). Why the double standards. Seems like DIBP would prefer that applicants to apply on their own and encouraging them to do so by being more lenient. Only when the applicant hits a brick wall with DIBP do they come to me, but by then, issues that could have been avoided are now present and DIBP will penalise the agent for representing the client, assuming that the problem was created by the RMA.
The government should really clean up the system following suit of what happened in the UK several years back. Dodgy schools were being closed down and suspected non-genuine students who were found guilty were deported. Then we won't have willing workers that are accepting lower pay and the franchises like 7-Eleven, will have no choice, but to hire workers at award wage levels.