Workplace exploitation happens when the employer who has a major power and influence in the organization ends up using it for the company’s good, but in doing so, it does not tend to the interests and care of the employees. An asymmetric power relationship is observed at this point. The Fair Work Act 2009 sets out many rules and obligations that apply to employees as well as employers that directly and indirectly prevent the context for exploitation of employee.
The Fair Work law spawned the Fair Work system which is the minimum legislations to be followed in a workplace. Under this, many entitlements and rights of employees are registered such as the employee entitlement to a contract, their entitlement for minimum wage etc. The Fair Work Ombudsman exists in order to protect the workspaces of the employees, by administering and enforcing the laws. Fair work Act 2009 and the Fair Work Regulations 2009 are both enforced by the Fair Work Ombudsman.
The 7-Eleven wage scandal shows heights of exploitation. In their wage scandal, there is a systemic approach showing this form of wage deception has been going on for ages. The workers were not paid their minimum wages. They were paid about half of the wages (Tham, 2016). The workers were given the job duties for employees in 7-Eleven, but were not compensated in full. The exploitation existed on the backdrop of a continuous threat which was that the employees were expendable to 7-eleven. The company always had a work force to recruit from and the employees needed the job more, so they quietly accepted the employment exploitation. Now the exploitation was such that even when 7-eleven was exposed, they still tried a payback scheme where they used to pay employees the full amount and then forced them to repay the money back to employees.
In order to show compliance to fair work law, it is necessary for 7-Eleven to implement code where,
The company will enforce the minimum standards for work.
7-Eleven should enable more flexible work environment for employees.
The company should pay them their minimum wage just like they would pay a citizen of the country.
They should prevent and work against any of systemic discrimination entering their franchise units.
And finally, must assure better workplace relationships and balance power asymmetry.