McDonald’s franchisee threatened workers over breaks, Federal Court finds

Union warns fast food giant faces millions of dollars in payouts over toilet and drink breaks being denied to young workers.

Federal Court judge John Logan ordered Tantex Holdings, which operates six McDonald’s restaurants, to pay $1000 compensation to a former employee.

The Retail and Fast Food Workers Union will pursue millions of dollars­ in compensation for McDonald’s workers after the Federal­ Court found one of the fast-food giant’s franchisees un­lawfully threatened employees over toilet and drink breaks.

Federal Court judge John Logan ordered Tantex Holdings, which operates six McDonald’s restaurants, to pay $1000 compensation to former employee Chiara Staines, who was denied a paid 10-minute break on all but three occasions while working at a Brisbane outlet from 2017 to 2019.

Under the McDonald’s Australia 2013 enterprise agreement, crew members were entitled to a 10-minute break when they worked a four-hour shift. Justice Logan found Tantex general manager Chris Crenicean unlawfully threatened employees in a post to a private Facebook group after the staff lobbied for 10-minute breaks.

Former McDonald’s worker Chiara Staines. Picture: Facebook

“If we implement this (10-­minute break) over our current situation, on your shift — this 10-minute break would be the only time you would ever be permitted to have a drink or go to the toilet,” he wrote in January last year. “So I hope to god you don’t get thirsty on your next shift because we just wouldn’t be able to allow a drink. Fair is Fair right?”

Justice Logan said he could not find any Australian cases about the right of workers to take toilet or drink breaks, and referenced an Ohio judgment that an employer­ was required to make available toilet facilities on occupa­tional health and safety grounds.

He found Tantex was legally obliged to allow an employee to have reasonable access to toilet and drinking facilities outside their scheduled break. “The right to access the toilet or a drink of water was, in my view, a workplace right for the purposes of the (Fair Work Act),” he said.

Justice Logan said Mr Crenicean’s post was a threat to keep employees working non-stop outside their breaks and involved conduct that was unlawful, illegitimate or unconscionable.

“It was unconscionable … absolutely to deny workers an ability to use the toilet when required or to drink water as needed,” he said. “That is so, irrespective of whether they are children, although it is hardly edifying that the threat of such denial was made to a group which, on the evidence, necessar­ily must have included children.”

The head of the Retail and Fast Food Workers Union, Josh Cullinan.

Union secretary Josh Cullinan said the decision was the “first time that a union and workers had successfully prosecuted McDonald’s in Australia but it will not be the last”.

As well as the $1000 compensation ordered by the court, he said, Ms Staines had been paid about $800 by McDonald’s in recognition of the time she was not paid. He said the union had launched a campaign for all affect­ed McDonald’s workers to register for fair compensation as he claimed employees not getting their paid breaks was “endemic” across the company’s operations.

“At the moment we are concerned with the hundreds and hundreds of thousands of workers who may be interested in compensation,” Mr Cullinan said.

“I am yet to meet the mystical worker that gets all their 10-­minute paid breaks and I have spoken to thousands of McDonald’s workers. I think these workers are owed hundreds of millions of dollars, that’s beyond doubt.”

A McDonald’s Australia spokeswoman said the company worked closely with its restaur­ants to ensure employees received all the correct workplace entitlements and pay. “We are, of course, disappointed that this did not happen­ in this case,” she said.