I first heard about OTR’s dubious training scheme in Adelaide back in 2014.
Federal court documents reveal OTR agreed to pay $5.8 million dollars to settle a class action involving accusations it underpaid staff across South Australia between 2014 and 2020.
The class action was launched on behalf of 1,050 workers in May 2020.
The company was accused of failing to pay overtime, underpaying staff and misusing its traineeship program as a method to reduce workers’ pay.
Law firm Adero Law estimated that 8,000 current or former employees were eligible to join the class action when it was first brought to court.
It also claimed Shahin Enterprises, which runs OTR, could be liable to pay back between $50 million and $70 million in unpaid wages and entitlements.
That’s what they should aim for.
The proposed settlement would come with no admission of liability or wrongdoing on the part of the convenience store chain.
How can that be? They ripped off their workers, pay a few off and now they’re Snow White?
The Federal Court will decide in December whether to approve the settlement.
The Federal Court should give OTR a penalty that will make their eyes water.