United Petroleum dispute highlights common franchising concerns

Recent allegations against United Petroleum by a group of ex-franchisees highlight some common concerns that are, sadly, seen all too often in franchising. 

With the key allegations centring around underpayment of staff (and subsequent termination of franchise agreements), it poses the question of why this issue seems to constantly rear its head in the franchising context.

It’s a complex issue and one that has sought to be addressed in the sector since the 7-Eleven scandal in 2015. A couple of years after this scandal, the Protecting Vulnerable Workers Act was passed to hold franchisors liable for non-compliance of workplace laws by their franchisees in certain circumstances.