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A turning point

After paying its staff less than minimum rate for years, Grill’d buckles under union pressure

 

 

After months of back-and-forth with unions, burger chain Grill’d has finally agreed to a new wage deal for its staff. This could mark the end of years of wage abuse, during which the company exploited a legal loophole to pay thousands of workers below minimum industry standards. 

Grill’d, one of Australia’s most well-known burger chains, has signed a landmark agreement with the United Workers Union (UWU) and the Shop, Distributive and Allied Employees’ Association (SDA). The deal comes after Australia’s first-ever fast-food strike, led by young workers, and represents a major shift in the fight against wage exploitation in retail and fast food. 

The newly approved agreement includes pay rises of up to 13.5%, six months of backpay.  

Crucially, it is a guarantee that no worker will be paid below the minimum award rate for the duration of the agreement. 

 

A business model built on loopholes and public money 

For years, Grill’d operated on a business model that leaned heavily on government-subsidised traineeships. While marketed as opportunities for skills development, these traineeships meant Grill’d could legally pay workers up to 30% below minimum rates, while still receiving taxpayer subsidies. 

In other words, public money was helping a multi-million dollar burger chain underpay its staff. 

At the same time, the company was turning over tens of millions in profits, estimated to be as high as $45 million, while workers dealt with unstable rosters, low wages, and a workplace culture many described as toxic. 

 

A victory led by young workers  

This breakthrough didn’t come easily. It’s the result of years of organising, much of it led by young workers through the United Workers Union and Young Workers Centre. 

For a decade, young Grill’d workers have spoken out about dodgy traineeships and low pay, and the Young Workers Centre is proud to have had their backs every step of the way. Together we’ve protested, petitioned and exposed the truth in the media about what was happening behind the burger bar.” said Felicity Sowerbutts, former Director of the Centre. 

The pressure campaign culminated in Grill’d becoming ground zero for the first fast-food strike in Australian history, with UWU members successfully pushing for a union agreement. 

“Their new union agreement is proof that when young workers get organised and stand together, they can take on a big boss and win.

         Felicity Sowerbutts, former Director of the Young Workers Centre

 

The deal signed at Grill’d is more than just a local win. It sends a powerful message: young workers can shift the balance. 

In a sector traditionally hard to unionise, this campaign proves that union tactics such as strikes, media pressure, and public campaigning still work, even against well-established corporations. 

 

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