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Fair Work Commission decision forces Chemist Warehouse to negotiate over pay, conditions with 300 SA workers

More than 300 workers for a major retailer have triumphed in court, forcing the company to the negotiating table in a landmark ruling.

The Fair Work Commission has ordered Chemist Warehouse to negotiate with 300 SA workers over pay and conditions. Picture: Shae Beplate
The Fair Work Commission has ordered Chemist Warehouse to negotiate with 300 SA workers over pay and conditions. Picture: Shae Beplate

A landmark court decision is forcing Chemist Warehouse to negotiate with a union over better pay and conditions for 300 workers across its 13 South Australian stores.

On Wednesday, the Fair Work Commission ordered the retailer to negotiate a multi-employer agreement with its workforce.

Chemist Warehouse is the first employer in the retail pharmacy sector to face a union collective agreement under the federal government’s Secure Jobs Better Pay laws, which updated employer bargaining laws.

Distributive and Allied Employees Association (SDA) – also known as the Shoppies union – demonstrated majority support for a collective agreement among 300 workers, employed by 13 stores across six franchises.

The laws automatically recognise employers have a common interest if they are franchisees.

Chemist Warehouse had opposed the SDA’s application, seeking to continue paying its workforce the award minimum.

The chain argued that SDA organisers had not properly explained the application to workers, but Fair Work Commission Deputy President Peter Hampton found there had been no material misrepresentations in garnering support for the proposal.

Chemist Warehouse is now forced to engage in good faith bargaining with its workers and the SDA or face arbitration if negotiations stall.

ACTU assistant secretary Liam O’Brien said it was a significant win for the union movement and a first for Australian retail pharmacy workers.

“For too long, employers like Chemist Warehouse have used their franchise structure to keep their employees stuck on bare minimum pay rates,” he claimed. “Retail pharmacists are among the lowest paid workers in the sector.”

SDA secretary Josh Peak said the win would result in pharmacy workers “finally (having) a collective voice to win better pay, predictable rosters,and stronger rights”.

Chemist Warehouse declined to comment.

Originally published as Fair Work Commission decision forces Chemist Warehouse to negotiate over pay, conditions with 300 SA workers

Original URL: https://www.themercury.com.au/news/south-australia/fair-work-commission-decision-forces-chemist-warehouse-to-negotiate-over-pay-conditions-with-300-sa-workers/news-story/d5e690a398ac0391495944f6538c901f