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Donut King is a franchise of the Retail Food Group, a business under fire for allegations of underpaying staff. Alpha/Flickr

What’s going wrong with Australia’s franchises?

Two well-known franchises have come under fire this week for problems when reporting their business results. We answer four questions about the business model and why these scandals are reoccuring.
Retail Food Group (RFG) Managing Director Andre Nell (right) and Chairman Colin Archer. The company has been the focus of the latest investigation into franchise problems. Dan Peled/AAP

What is going rotten in the franchise businesses plagued by scandals

There are some hallmark problems within franchising in Australia and internationally and not all are within the franchisor's or franchisees' control to fix.
Professor Allan Fels is calling for the Senate to reopen its inquiry into compensation for underpaid 7-Eleven workers. Dan Peled/AAP

Can 7-Eleven be trusted to clean up its own mess?

7-Eleven’s decision to take charge of the compensation process for underpaid workers highlights the problems with voluntary commitments and underlines the need for increased legal accountability.

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