Regional supermarket workers win millions in compensation
Supermarket workers across regional South Australia have won millions in back pay after legal action by one of the state’s largest unions.
The Shop, Distributive and Allied Employees Association (SDA) said that more than 500 regional supermarket workers will receive $5.5 million in back pay after it reached a settlement with Eudunda Farmers Ltd (EFL), with the average amount received being $11,000.
The SDA launched the compensation claim in the Federal Court in late 2021, alleging that workers at EFL and its subsidiaries had been underpaid.
EFL is an Adelaide-based operator of 20 Foodlands and IGAs in regional South Australia, including in Clare, Port Augusta, Barmera and Bordertown.
The allegations included misclassifying workers, incorrect and unpaid overtime, breaching minimum shift rules and not correctly paying allowances.
The SDA said following the launch of its legal action, EFL reviewed classification levels and back-paid workers, as well as increasing workers’ pay to comply with award requirements.
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“This is one of the largest retail underpayment cases in South Australian history,” said SDA SA, NT and Broken Hill secretary Josh Peak.
“This is a massive outcome for these workers and will be life-changing for many of them.”
Peak said the legal action started with a few workers speaking up and has now resulted in hundreds of workers being compensated.
“If workers hadn’t contacted the SDA, these issues would never have been fixed,” he said.
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“It’s been a long journey and we are pleased that after so many years, Eudunda Farmers Ltd has negotiated in good faith and done the right thing by back-paying workers.”
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Kingston SE Foodland worker Tahlia said the outcome would make a “real difference” to her, allowing her to pay off her HECS debt.
“I worked for Eudunda Farmers part-time, mostly as a junior employee. I had no idea the underpayments were this large, I thought it was just a few missed allowances here and there,” Tahlia said.
“I’m glad that I, and many other workers, are finally getting the money that we deserved in the first place.”
A spokesperson from EFL said it “regrets any inconvenience caused”.
“As with any business operation, mistakes and pay discrepancies can occur, as rightly identified in 2021 by the SDA,” the spokesperson said.
“Following legal action led by the SDA, EFL is working alongside its employees and in collaboration with the SDA to ensure that past discrepancies are rectified as a priority.”
