Union files for nationwide bargaining orders for McDonald's after South Australian win
The Shop, Distributive, and Allied Employees Association (SDA) has lodged an application to extend the bargaining orders to McDonald's franchisees nationwide after a landmark win in South Australia.
The Fair Work Commission (FWC) earlier this month ordered 18 South Australian franchisees of McDonald's to negotiate employee pay and conditions under the government's bargaining reforms.
Gerard Dwyer, National Secretary of the SDA, said the nationwide application is the "logical next step" after the success of the SA case.
"That ruling by the Fair Work Commission confirmed what was always obvious: that McDonald's stores, whether franchisees or corporate – share common interests and that workers should be able to bargain together," Dwyer said in a statement.
Dwyer added that it is clear that workers should be able to bargain for improved wages and conditions.
"In short, these young, low-paid workers – many in their first jobs – should be able to say: 'I'll have bargaining with that,'" he stated.
'Sadly inevitable escalation'
The Australian Industry Group (Ai Group) said the union's win in SA "emboldened" it to bargain for a multi-employer agreement across all McDonald's restaurants nationwide.
"The SDA application represents a dramatic and sadly inevitable escalation of the Government's multi-bargaining laws across the economy, well beyond what the Government suggested would occur when it pushed through the laws in late 2022," said Ai Group chief executive Innes Willox in a statement.
Willox warned that the application to cover all McDonald's restaurants will impact hundreds of franchisees who are separate employers.
According to Willox, the development could expose other employers across the fast-food, retail, hospitality, and numerous other sectors to the risk of being drawn into multi-employer bargaining.
"Bargaining across such a broad range of businesses will undoubtedly be very complex and costly if authorised by the Fair Work Commission," he said.
"Australian Industry Group urges the Federal Government to introduce urgent amendments to the Fair Work Act to tighten up the scope of the supported bargaining stream, and to address the unintended consequences reflected in the FWC's decision."
McDonald's is one of the biggest fast-food employers across Australia. It withdrew an in-principle agreement in 2019 and has not negotiated a new deal since then.
The food chain did not respond to HRD's request for comment on the development.
