The Supreme Court ruled to terminate a 7-Eleven franchisee. This was due to the employer underpaying his employees. The employer also wanted cash-back payments so the money would go back to the store. The retail store cut off ties with the franchisee. The workers were paid until the minimum wage due to the cash-back scheme. The franchisee didn’t clearly respond to questions asked and he was also hostile to reporters. The franchisee also had troubles with the english language.
Key Takeaways:
- Lack of fluency in English caused the employees to not understand how the cash-back worked.
- The franchisor was lawful in terminating the contract with the franchisee for cheating their employees.
- The franchisee failed to provide sufficient evidence that they were not engaged in illegal activities.
“Despite both employee witnesses having some difficulty in explaining how they paid the money back to their employer, the court noted their issues with the English language and was satisfied that this was cause for the lack of clarity.”
Read more: http://c-store.com.au/2017/05/16/supreme-court-rules-7-eleven-franchisee-termination/
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