What risk management issues should an employer consider

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Reference no: EM132311243

Managing The Legal Environment Assignment -

Learning Outcomes -

Knowledge:

  • Identify and interpret legal principles of relevance to the relationship between business, competitors and stakeholders in the social and political environment in which that business operates.
  • Evaluate the impact of law on the business and management context.
  • Identify, describe and analyse legal risk faced by business in relevant contexts and in times of change.
  • Identify and critique strategies that can assist businesses to manage legal risk.
  • Evaluate the role of law in shaping business strategy and management decisions.

Skills:

  • Identify a problem(s) given an abstract concept and, using research and theory, solve the problem(s) related to management of the legal environment.
  • Collaborate with others to develop, evaluate, and defend strategies to manage legal risk.
  • Present the results of investigation and evaluation via both oral and written communication, using technology to disseminate information and findings.
  • Critically reflect on learning achieved from the investigation and synthesis of legal management theory and practice.

Application of knowledge and skills:

  • Integrate ethical, sustainability and social responsibility perspectives into the context of managing the legal environment.
  • Analyse scenarios to identify and assess legal problems or issues in new situations.
  • Develop effective strategies and approaches in response to change in the legal, political and international environments.

Values and Graduate Attributes:

  • Be able to comply with legal rules affecting business.
  • Behave consistently with ethical and legal norms applicable to society, including a commitment to ethics, sustainability and social responsibility.
  • Defend a position that law is influenced by social, economic, political and international considerations.
  • Accept responsibility for and value individual and collective learning.

Case Study - Contract

Introduction and Background: In August 2015, Fairfax Media published the findings of an investigation into wage fraud in Australian 7-eleven franchisee operations. The investigation claimed that thousands of casual workers and visa holders were:

  • Being paid below award wages
  • Working long hours but being poorly or not paid for that time
  • Being paid appropriately but being required to repay a proportion to their employer, thereby effectively being underpaid (cashback).

7 Eleven hired Allan Fels (previously head of the ACCC) to design a compensation scheme but later assumed control of the scheme. Since this first story broke, there have been other stories involving such and similar practices, emerging from energy (Caltex), fast food (Pizza Hut), agriculture (labour hire companies), supermarkets (sub-contractors under "chain arrangements"), hospitality (cafes and restaurants), construction (building and related trades) and aspects of the service industry (eg home, aged and child care). Given that a lot of the stories centred on the particular vulnerability of visa holders in Australia (including international students), the (Cwth) Joint Standing Committee on Foreign Affairs, Defence and trade held an investigation into the situation, in which it was reported that the Australian government had established a Migrant Workers' Taskforce in October 2016 (chaired by Fels) and sponsored the Fair work Amendment (Protecting Vulnerable Workers) Act 2017.

Despite such moves, subsequent media and FWO investigations over 2018 have found continued legal non-compliance and exploitation in relation to Woolworths'subcontractors, a Refrigerated Transport operator, a Massage company, a Perth-based security company, several up-market Melbourne restaurants, a plumber and a domestic violence shelter......et al......

Questions:

  • What, if anything, is different in an employment contract as compared to other types of contract such that they tend to attract higher levels of regulation and enforcement?
  • What common factors can you identify in the exploitation cases that have been reported/investigated?
  • Should there be freedom of contract in relation to employment contracts? Why or why not?
  • What risk management issues should an employer or potential employer consider when deciding on terms and conditions of employment?
  • Referring to one example of where employee exploitation has been identified, what steps should the employer have taken to address the legal risks of the situation?

Attachment:- Assignment Files.rar

Reference no: EM132311243

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