Monday, April 08, 2013

Business doesn't want youth rates

Before youth rates were repealed back in 2007, the Unite union had waged a successful campaign which eliminated them from the fast food industry. The strategy was simple: unionise, demand equality, and start wrecking their brand if the business didn't agree. McDonalds, KFC, Starbucks and Pizza Hut all gave in. And it seems that some of them have learned their lesson:

McDonald's and Restaurant Brands have joined a scree of retail giants who have decided against paying 16 to 19-year-olds the new youth wage.

The Warehouse, Farmers, Kmart, Bunnings and major supermarket operator Countdown had already committed to rejecting the new youth rates.

All of these companies have public reputations to uphold. None of them want the stigma of being seen to discriminate against young people, who are a major part of their market. Sadly, the same can't be said for Foodstuffs, who have said they are interested in using youth rates in their New World, Four Square, and Pak n'Save supermarkets. Which means there may be a boycott in their future...