The crazy ways Krispy Kreme ‘paid’ its workers
A KRISPY Kreme HR staffer has told a Fair Work Commission hearing staff were offered "enhanced benefits" of free doughnuts, drinks and hoodies under their enterprise agreement.
The human resources officer was under questioning in the Commission last year as the company pushed for approval of a new enterprise agreement.
She was asked by the United Workers Union's Imogen Beynon whether the company was suggesting free doughnuts could offset the non-provision of afternoon shift loadings, and other entitlements.
"I'm saying it's part of the package of the enhanced benefits that we offer under the enterprise agreement and I would suggest that a number of our employees like the benefit and enjoy the free doughnuts," a transcript of the hearing last October shows the HR officer responded.
"But you're saying that is compensating - not just giving them to them - you're saying here that it's compensating them for other things they don't get under the..."
"It's part of the enhanced benefits that we're offering," the HR officer repeated.
Questioned how it would benefit staff who did not want to eat doughnuts "because they were trying to kick sugar or something", the HR officer replied: "I think it would be unusual for us to not have people who didn't take the supplementary doughnuts."
"It's a very exciting benefit for our people."
She told the Commission the company also offers discounted merchandise as part of the scheme and gave out a Christmas hoody (a hooded jumper) to all its employees.
"I think it's unlikely that an employee wouldn't use any of the enhanced benefits but we also are offering materially higher base rates of hourly..pay to our employees as well," she said.
But the United Workers Union has argued the old and new agreement strips workers of entitlements they would receive under the award covering food manufacturing workers.
The union covering retail workers at the company, the Shop, Distributive and Allied Employees Association, also opposed the new deal, arguing some causal staff could be worse off and that the company's calculations were flawed.
"In challenging the Krispy Kreme Agreement, the SDA highlighted some 37 deficiencies in the proposed Agreement when compared to the Fast Food Industry Award," an SDA spokesman said.
"Among these were lower penalty rates on evenings, Saturdays and (for some employees) on Sundays," he said.
"The SDA also raised concerns regarding the provision for annualised salaried employees in the Agreement who were not guaranteed annual increases and had no provision for paid overtime.
"The SDA was also concerned that the company did not provide its calculations as to how employees would be "better of overall" under the Agreement.
The Fair Work Commission dismissed the application for the new agreement in November, stating it was not satisfied the agreement had been genuinely agreed.