The Fair Work Commission ruled the fast-food giant must negotiate with unions on pay and conditions
McDonald's has been ordered to negotiate employee pay and conditions with unions in a landmark decision under the government's multi-employer bargaining reform.
The Fair Work Commission (FWC) has ruled that it is "appropriate" for 18 South Australian franchisees of McDonald's and their employees to be covered by multi-enterprise bargaining as proposed by the Shop, Distributive, and Allied Employees' Association (SDA).
The FWC cited a variety of reasons for its decision, including the prevailing low rates of pay in the industry.
"The prevailing pay and conditions within the fast food industry are at or close to the minima provided for by the FFI (Fast Food Industry) Award, and low rates of pay prevail in the industry," the FWC said in its decision.
The Australian Industry Group (Ai Group) said the decision was "deeply disappointing" amid its potential impact on other employers.
"The decision highlights the risk for thousands of employers in the fast food, retail, hospitality and many other sectors, of being dragged into multi-employer bargaining by unions against their will and without the support of the majority of their employees," said Ai Group Chief Executive Innes Willox in a statement.
Willox urged the Federal Government to introduce "urgent amendments" in the Fair Work Act to reconsider the scope of the supported bargaining laws.
"The Australian Industry Group urges...
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