The SDA – the state’s largest union – is suing pharmacy giant Chemist Warehouse for the widespread underpayment of its workforce.
In a case before the South Australian Employment Tribunal, the SDA is alleging that nine workers across four Chemist Warehouse stores in South Australia have been misclassified and underpaid thousands in pay.
Chemist Warehouse allegedly directed employees to obtain a Certificate III in Community Pharmacy to perform higher work duties (such as dispensing medication) but did not pay them in line with this classification and duties.
Of the current claimants, the average alleged underpayment is $5000 per employee.
This case has the potential to impact almost 1000 employees across 350 stores nationwide and lead to $10,000,000 in backpay.
Across South Australia, this case could amount to almost $600,000 in backpay for Chemist Warehouse employees.
This matter is listed for a 10-day trial beginning in August 2023.
Quotes attributable to SDA Secretary Josh Peak:
“Wage exploitation has reached crisis point across Australia.”
“Being directed to work above your pay grade is not ‘good experience’ or ‘an opportunity’, it’s exploitation and it’s unlawful.”
“We’re alleging that Chemist Warehouse knowingly ripped thousands out of the pockets of its employees by directing them to work above their classification level.”
“Nearly 1000 Chemist Warehouse employees are potentially owed millions of dollars in backpay and the SDA is fighting to have every cent returned to them.”
“This isn’t a mistake or an oversight, it’s another shocking example of wage exploitation by a national brand.”
“We need to buck this trend of employees being expected to do more than they’re being paid for.”
“Chemist Warehouse operates 350 stores across the country and brings in millions in revenue – they have the capacity to pay their employees properly and abide by the law.”