Domino's Australia Considers Appeal After Court Ruling on Enterprise Agreements

Domino's Pizza Enterprises is contemplating an appeal following a Federal Court decision that found the company engaged in misleading representations concerning the application of certain enterprise agreements to its employees. The proceeding was initiated by a former worker on behalf of a group of Domino's franchisee employees, including delivery drivers and in-store staff, who worked between June 2013 and January 2018.

The court determined that Domino's historical statements about the application of specific enterprise agreements were misleading, invalidating the coverage clause within a 2005 enterprise agreement. The workers had argued that they should have been compensated under the Fast Food Industry Award 2010, rather than the enterprise agreements Domino's had applied across its corporate and franchised stores.

In assessing the former worker's claim, the court calculated a loss of approximately A$11,869, plus interest, concluding that Domino's conduct resulted in the worker suffering financial loss due to underpayment. Domino's has indicated that its potential broader financial exposure to other members of the alleged group remains highly uncertain and unquantifiable, and the company is currently evaluating possible grounds for an appeal.