Compensation paid to 7-Eleven workers by 7-Eleven's head office has so far reached $110 million — an average of $39,000 for each of the 2832 claims by workers who were underpaid by franchisees.
The payout is much greater than fines that could be imposed under existing laws, raising questions about whether the federal government's proposed law to protect vulnerable workers will go far enough in holding similar conduct to account.
The Fair Work Act merely imposes fines and very limited compensation. A far stronger deterrent is companies knowing they have to make restitution in full.
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