Landmark case brought against McDonald’s at SA Fair Work Commission

McDonald’s is under fire across the country for allegedly denying staff members breaks, but the problems only get worse according to a major court action.

McDonald’s West Lakes is being investigated by SafeWork SA following multiple reports of staff being refused drink breaks. Picture: Keryn Stevens

The case of an Adelaide McDonald’s store that allegedly refused drink breaks to workers was not a one-off, according to the union bringing a “landmark case” against the multinational.

On Tuesday, the Fair Work Commission began hearings in Adelaide for an action by the South Australian SDA which, if successful, would force the company to negotiate a nationwide enterprise bargaining agreement with staff.

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SDA SA secretary Josh Peak said McDonald’s was the only major fast food chain without an EBA, and as a result, its 5100-plus workforce was paid “the absolute minimum” award rate, while lacking improved safety and grievance procedures.

“McDonald’s is using every argument it can to refuse to sit down with its workforce … the fact is that they want to pay their workers the lowest they possibly can,” he said.

SDA SA secretary Josh Peak speaking in front of the Fair Work Commission with ACTU secretary Sally McManus. Picture: George Yankovich

“McDonald’s is a really important first job for many workers, and that’s why we want to make sure that work is good as they’re entering the workforce, that they have a positive experience.”

Mr Peak said the SDA had filed at least 19 court actions against McDonald’s stores across the country for refusing drink breaks, following reports that regulator SafeWork SA was investigating a West Lakes franchise on these grounds.

A McDonald’s West Lakes staff member leaked photos to The Advertiser purportedly showing mold build-up in the soft serve machine. Picture: Supplied

The photos also showed a bain-marie in disarray. Picture: Supplied

“There’s not a store that we go into with McDonald’s where we don’t see a law being broken with workplace health and safety and workplace law,” he said.

“We should expect more with the biggest employer of young people in this country.”

The Fair Work action was brought under the federal government’s contentious 2023 ‘Closing Loopholes’ bill, which empowered supportive bargaining claims like the SDA’s.

In its arguments, McDonald’s lawyers denied its franchises had “clearly identifiable common interests” which would enliven the claim, pointing to the differences in size and structure among individual operators.

They also argued the SDA did not attempt to gauge support for an EBA among employees.

McDonald’s staff member Connor Boyle, 23, said managers would wind back shifts as certain employees aged due to pay band increases, which he hoped an EBA could prevent.

Hearings are expected to finish on Wednesday.