Investigating The Negative Impact Of Workplace Laws On 7-Eleven’s Commercial Success

Issues Faced by 7-Eleven

The value of workplace and commercial success depends on the employees understanding with their management and that showcases better control with organization o develop their business in an effective way. 7 – Eleven is facing this kind of situation where the workplace laws and commercial success of the company have diminished due to their rigid and unhealthy decisions. The big scandal of 7 – Eleven enlightens the negative publicity in Australia. The reason behind this publicity is the corporate wage scandal that happened in recent past. Employees’ are doing their work for extra hours and they do not get their desired payments, this is the prime issue of dilemma that trembles the base of the company (7eleven.com.au 2018). 7 – Eleven is an iconic brand of American culture though they have channelized their business in all over the world and Australia is one of those places. Serving customer needs is the core value of the company thus servant leadership theory needs to introduce by the company to reach the core value and maintain customer accumulation of the company.

Fair work investigation is the first aspect that has created a major problem for the organization. At the interviews, articles, allegations are underpinning the fact that 7 – Eleven has not maintained the work balance in their organization and that affected the company in terms of the encounter of co-operation. The major allegation that imposed on the organization is the exploitation of workers. The issue of exploitation has raised questions about the wage fraud case, inconsistent payment, payroll issues, immigration of visa issues for foreign workers and imposes emotional stress to employees who are working for the company for long years (Babazadeh et al. 2017). These systematic issues faced by the company first noticed by the Four Corners and Fairfax indicators and this systematic investigation produce enough evidence against that. The company has also imposed some penalty rates over the employees and that impacted over their wages and cost rates. 7 – Eleven has confronted this negative affection due to the employees’ instability and their bold action against the organization. It is a good step for employees’ as Employee Retention Law does not support this concept to work for an extra hour without deliverance of money (smh.com.au 2015). So a basic disturb situation has come up at that time and in this circumstances, the ethical idealistic mannerism of the company has been nullified (Lahrichi e al. 2015). As mentioned in The Guardian, due to the budget regulation 7 – Eleven reduce their wage for employees. This action justified the threatening work culture for employee and that operation lack and fairness in wage panel decisions have been taken for the workers. Employees’ are on the falsification side and they have been affected the most due to the situation.  Fear mongering, widespread campaign, physical actions of intimidation are some of the exploited situations that employees have faced in that situation and the challenge for their wage justice (smh.com.au 2015). From The Guardian, the fact of visa cancellation or not bring back those visas for employees has also come in that situation. 7 – Eleven’s scandal has highlighted the issue of migrant workers and as they need their visa to went back to their nation (theguardian.com 2016). The company has not delivered those visas and for this reason, these workers were not coming back to their origin (Rydberg, Stone and McGarrell 2016). The Guardian accused 7 – Eleven as the culprit as they have got the proof of half pay scam. This is a scam process that only allows half of the day’s money even when employees’ are dung their duty in an efficient way. The proper employment and employees ethical trust over the organization diminishes due to that reason.  

Recommendations for Better Workplace Environment

As mentioned by The Sydney Morning Herald the rotting wages of workers and their demand in wage management is the key issue of their scam. The weekends and public holidays demand more pay for employees and employees are eager for that money, in that case, 7 – Eleven has not delivered that amount of money and rater systematic work culture deployed due to that reason. Slavery process is not the way to maintain a workplace, rather legitimate business connections and licensing process is the key factor in this situation. Leadership is the key prospect of the reason. Leaders need to be strong and innovative enough to do a job in a quick time so that better outcome can be drawn. In that case, leaders influence in this organization is ineffective and dormant (Dunn 2015). Activities like team bonding, team evolvement, better work culture, work operations are the key factor that leaders establish an organization however in case of 7 – Eleven this process of acceleration is missing as the autocratic approach of leadership is missing in that scenario. In this leadership process, leaders are so much arrogant in their roles that employees are bound to do the extra work. Moreover, penalty rate introduction is another supervision that implemented on the Saturday, Sunday and holidays. Employees are not taking holidays on these days, if they do; a good amount of money has been deducted from their salary by the organization (Bardach and Patashnik 2015). In that scenario, employees have to come on that day and their work-life balance has finished on that occasion. There was no extra payment option or there are no motivations in that place, rather inconsistency at the system and floating penalty rates are miserable for employees (Head and Alford 2015). Thus, many of the Australian stores have been raided by the government and the raid was planned as per the legal actions. It is anticipated to liberate a report into 7-Eleven in 2016, delineation recommendations on how to treat with the universal earnings scam. The expected dealing that mentioned, in that case, is the still concern matter for employees and that affected the economy of Australian and global people (Dudley, Cotton and Peralta 2015).  

In case of scam detection and recommendations, it is important to understand that this place needs to be under proper surveillance as the repeat action can be done once more rather in the more brutal way. So the safety of the place and their employees are the major concern of that situation. Company prime identity is their mission and vision and in any circumstances company tries to meet their mission. So employees’ retention and satisfaction will be going to be one of the issues in the section. The organization needs to understand that employees are the key factors for the organization so in that situation their retention policy needs to be introduced in their mission policy. Work-life balance is another recommendation that needs to be implemented in 7 – Eleven and the reason behind the change is providing facility to employees. Work in holidays, Saturdays, Sundays are considered as normal holidays and no monetary deduction is allowed in that situation. Visa maintenance and delivering visa at the right time is also an indication of providing enough opportunities for employees in 7 – Eleven (Sonka, Hlavac and Boyle 2014). Proper timing of wage and the deliver wage at the right time is a kind of assurance that employees can trust on the company. Better employees’ accumulation and half pay to employees needs to be stopped so that employees are putting their concentration towards the production, not in the situation of roast that basically hampers the organization production. Certain ethical laws need to be implemented in 7 – Eleven Australia so that better policies over employee will be implemented. Work environment also reluctant in this organization so it will be quite natural to implement a proper work environment in the organization. Motivation can be delivering a recommendation and that also create chances for better development of the organization. Establishment of voluntary mechanism and creating an individual panel is another better chance of providing facilities to employees. This reputational evolvement helps the organization to find their way in terms of positive light and reach their goal not to drilling employees but to precede the momentum of the work in the right hand of a leader so that better innovative process and development opportunities can be raised.

Conclusion

Therefore the paper can be concluded that negative media publicity that impacted over 7 – Eleven is a kind of workplace operation that highlighted the employee’s safety and security and importance of workplace culture. There are some reputational changes occur in the management and legal sectional operations that have been done as a recommendation in the organization. These policies are far-reaching and that experiences better fundamental responsibilities for the leaders of the organization. Leaders have to be democratic so that they can take any decision before discussing the fact with their employees. In this process, they can come up with lots of other ideas and innovative mannerisms but initially, these steps are sensible and mitigate wage problem for the organization. Australian media highlighted entire case of 7 – Eleven and highlighted all the scams and that is the reason the company is now focusing on the better possibilities in business and tried to develop their concern parts so that employees are not getting this kind of treatment form the organization, this is the main aspect of 7 – Eleven.

References

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Babazadeh, R., Razmi, J., Rabbani, M. and Pishvaee, M.S., 2017. An integrated data envelopment analysis–mathematical programming approach to strategic biodiesel supply chain network design problem. Journal of Cleaner Production, 147, pp.694-707.

Bardach, E. and Patashnik, E.M., 2015. A practical guide for policy analysis: The eightfold path to more effective problem solving. CQ press.

Dunn, W.N., 2015. Public policy analysis. Routledge.

Head, B.W. and Alford, J., 2015. Wicked problems: Implications for public policy and management. Administration & Society, 47(6), pp.711-739.

Lahrichi, N., Crainic, T.G., Gendreau, M., Rei, W. and Rousseau, L.M., 2015. Strategic analysis of the dairy transportation problem. Journal of the Operational Research Society, 66(1), pp.44-56.

Rydberg, J., Stone, R. and McGarrell, E.F., 2016. Utilizing Incident-Based Crime Data to Inform Strategic Interventions: A Problem Analysis of Violence in Michigan. Justice Research and Policy, 17(1), pp.3-27.

smh.com.au 2015 7-Eleven An inconvenient year for 7-Eleven retrieved from https://www.smh.com.au/business/workplace-relations/7eleven-investigation-exposes-shocking-exploitation-of-convenience-store-workers-20150828-gja276.html [Accessed on 29th January, 2018]

smh.com.au 2015 7-Eleven: Investigation exposes shocking exploitation of convenience store workers retrieved from https://www.smh.com.au/business/workplace-relations/7eleven-investigation-exposes-shocking-exploitation-of-convenience-store-workers-20150828-gja276.html [Accessed on 29th January, 2018]

theguardian.com 2016 7-Eleven is the tip of the iceberg in worker exploitation. So who’s turning a blind eye? Retrieved from https://www.theguardian.com/commentisfree/2016/may/12/7-eleven-is-the-tip-of-the-iceberg-in-worker-exploitation-so-whos-turning-a-blind-eye [Accessed on 31st January, 2018]