Australia
Pizza Hut franchisee fined after engaging in ‘sham contracting'
Pizza Hut franchisee fined after engaging in ‘sham contracting'
The franchisee was penalised a total of $216,700. A Pizza Hut franchisee on the Gold Coast was fined after exploiting an Indian delivery driver under a sham contract and using false records to hide the irregularities. Dong Zhao, owner and operator of the Pizza Hut franchise outlet at Upper Coomera, has been penalised $36,700 while his company Skyter Trade Pty Ltd has been penalised an additional $180,000. The penalties were imposed in the Federal Circuit Court and were the result of legal action by the Fair Work Ombudsman. Judge Michael Jarrett imposed the penalties after Zhao and his company admitted that they contravened sham contracting laws when they misrepresented to a delivery driver that he was an independent contractor and not an employee. The delivery driver is an Indian national aged in his 20s, was in Australia as a dependent on his wife’s international student visa at the time. Zhao reportedly asked the driver to provide an Australian Business Number (ABN) and subsequently treated him as an independent contractor between November 2015 and May 2016, paying him a flat rate of no more than $16 an hour. Under the Pizza Hut enterprise agreement that applied to the business, however, the worker was entitled to receive at least $20.36 for ordinary hours and up to $40.72 for overtime and public holiday work as an employee rather than an independent contractor. The Fair Work Ombudsman formed the view that the driver was an genuine employee of Zhao’s company, rather than an independent contractor, due to the “level of direction, supervision and control Zhao and his company had over the driver – and because the driver was not genuinely operating his own delivery business.” The driver, who was also underpaid a per-delivery entitlement, superannuation and a uniform allowance, has since been back-paid in full. Inspectors from the Fair Work Ombudsman investigated Zhao’s Pizza Hut outlet in 2016 as part of an activity that involved audits of more than 30 Pizza Hut outlets and identified widespread non-compliance in the franchise network.
Retail Food Group expands field services team for franchisee support
Close to 1,000 applied for 30 field-based roles, the company reports. Aiming to improve franchisee support across their network, the Retail Food Group (RFG) announced that they are increasing the number of in-field support roles to 88. The company says that “close to 1,000 applicants” have applied for 30 field-based roles in order to support franchisees across Australia. “We are not only increasing the number of in-field support representatives but are committed to training those staff to deliver as higher quality support as possible. We must hold ourselves accountable to the success of our franchise partners,” new group CEO Richard Hinson said in a statement, adding that there will now be one in-field Area Manager for every 16 stores in their network through this initiative. The group also says that both comprehensive in-store training and training through RFG’s academy are already underway following consultation with Franchise Advisory Council members who represent franchisees. The announcement is reportedly in response to recommendations following the company’s recent whole of business review, aiming to focus on lifting the quality of RFG’s domestic franchise business. Screening of applicants are currently underway, with RFG expecting this process to be complete by the end of June.
5 Boroughs opens third site in Brisbane
The Balmoral store is slated to open on June 23. Furthering their vision to bring the quintessential New York casual dining experience, 5 Boroughs announced that it will open its third site in Brisbane. Located in 216 Riding Road in Balmoral, the newest site will celebrate their grand opening on June 23 with a ‘feed a friend for free’ promotion that allows customers to purchase two meals from the menu for the price of one. Taking inspiration from the five boroughs of New York City – Manhattan, Brooklyn, The Bronx, Queens and Staten Island – the burger multi-site’s offerings feature a range of American-style eats such as reuben sandwiches, fish tacos, empanadas, Franks Hot wings and their signature Boroughs burgers. “We had the vision of bringing the quintessential New York (NY) casual dining experience to Brisbane many years ago followed by several trips to NY, but we knew that we didn't want to just delve into another stereotypical burger joint, we really had to enter that New York state of mind to get it right,” co-founder Todd Clayton said.
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Piccolo Me launches new site in Moorebank
This is the young brand’s 18th store in the country. Foraying into South Western Sydney, Piccolo Me recently opened its newest café in Moorebank Logistics Park. This marks the 18th site for the upstart coffee brand, and will also feature its range of signature sandwiches, salads and options for breakfast and lunch. Piccolo Me was founded in 2012 by Roy and Charlie Hachem. “This opening marks a key milestone in our expansion. It’s our first step into South Western Sydney and we’ve been warmly welcomed and supported by Qube, the developers and owners of the Logistics Park, as well as the community," Charlie said. Roy adds: “Our menu is a mix of things you won’t find at any other cafe. We are all about pushing the boundaries, creating twists on childhood favourites and making your meal fun." The newest Piccolo Me site is open Monday through Friday from 6AM to 4:00PM and Saturday 7:30AM to 2PM.
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Taco Bell is hoping that the third time's the charm in Australia
International president Liz Williams says the "more mature" Australian market is now ready for the global brand. After a couple of attempts to kickstart their presence in the country, the popular, youthful brand intends to stay after finding recent success with a clearer and more deliberate strategy. “Years ago, when we went into some markets – the markets weren't ready for us. And they weren’t ready for Mexican-inspired or the Mexican category in general. It was too niche. People didn't know how to eat a taco. We still see this in markets today," Taco Bell international president Liz Williams said in an exclusive interview with QSR Media. Aside from a clearer strategy, Williams said a more mature market that was open to different food types also made a difference this time. “Today, you go into a market like Australia - the Mexican category is well-defined and well-loved and so I think that’s has been the #1 differentiator from years ago when we did it." Williams also cites Taco Bell’s local franchise partner Collins Foods and its regional team for bringing the “perfect expression” of the brand in the market. “I think that clarity [in the brand strategy] is going to make a difference this time,” she remarked. The U.S.-based brand also sees potential in their international market for a thousand units over the next couple of years. But despite their master plan of global aggressive expansion, Williams says they are in no rush – emphasising the need for proper partnerships. “[We’re] taking time to go to the market in the Taco Bell way. It’s easy to do that because you see so much opportunities. Taking the time to find the right partner, getting the right site are really important, and getting the scale. It takes time to go under the market and get the partnership and to have that scale.”
Gelatissimo debuts Peanut Butter Cup gelato
The limited-edition flavor will be available until the end of the month. Aiming to provide a winter go-to, Gelatissimo introduced its brand-new Peanut Butter Cup flavour. A combination of chocolatey peanut butter gelato and peanut butter chips with a chocolate drizzle, the Peanut Butter Cup will be available until the end of June.
Soul Origin opens first site in Northern Territory
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Key executives and industry leaders will gather at Australia's largest multi-site restaurant conference.
Retail Food Group flags $87.6 million full-year loss
The company’s shares also plummeted following their announcement. The Retail Food Group (RFG) advised that it expects a statutory loss of approximately $87.6 million in FY 2018, after taking account of substantial impairment charges booked at the end of last year, termination payments to former managing director Andre Nell and other additional one-off turnaround expenses.
Nando's launches ‘For Flavours Sake' ad campaign
Their videos present the brand’s PERi-PERi sauces as a time-saving flavour solution. Offering Australians the chance to save time in the kitchen without compromise on quality, Nando’s has launched its new ‘For Flavours Sake’ ad campaign – consisting of two videos demonstrating how to use their PERi-PERi sauces as a quicker meal addition versus combining ingredients from scratch. “Nando’s sauces are great for consumers looking for a quick and easy way to turn a good dish into a great one. These two new ads highlight the delicious, fresh ingredients that go into our PERi-PERi sauces while also sharing a shortcut to transforming everyday meals and giving them an instant flavour boost,” Nando’s Brand Manager Stefani Dethan said.
Are you ready for Australia's largest multi-site restaurant conference?
We are just days away from the 2018 QSR Media Detpak Conference and Awards. More than 450 participants, over 30 key speakers, and approximately 60 quick service restaurant brands represented - that's what you need to expect at the QSR Media's upcoming conference and awards at Sydney. Aside from a wide array of discussions and networking opportunties, we will also recognise the brands that have been exceptional for the past year. Check out the whole programme by clicking here.
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