Tuesday, June 18, 2024

Coles update on Fair Work Ombudsman proceedings

In February 2020, Coles announced it was conducting a review into the pay arrangements for all salaried team members covered by the General Retail Industry Award (GRIA) after
identifying shortfalls in the remuneration of salaried managers in its retail businesses.

“Coles actively sought to address the issues based on available information and conducted a
remediation exercise. Coles expressed its deep regret and apologised to affected team
members. Subsequently, a class action and a separate proceeding by the Fair Work
Ombudsman were commenced in the Federal Court in relation to the alleged underpayment
of salaried managers in Coles’ supermarkets and the interpretation of the GRIA and the Fair
Work Act,” according to a statement released by Coles Group.

“Coles has continued to work diligently in relation to these issues. Coles advises that, following further consideration of the issues as they have evolved, it intends to conduct a further remediation relating to the reconciliation of available records of the days and hours of work of salaried supermarket managers. Coles apologises unreservedly to affected team members.

“Coles will take an additional provision of $25 million in relation to this matter.
In relation to other matters, including the interpretation of the GRIA and Fair Work Act, Coles awaits the Court’s decision on these complex issues.”

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