I am not very interested in Dominoes as a business per se. But I am interested in it as an exemplar of the wage…ahem…massaging business models that have taken hold in Australia’s service sectors. Adele Ferguson is clear today:
Since it listed on the ASX in 2005 at $2.20, Domino’s shares surged more than 2500 per cent to hit a high in August 2016 of almost $80 a share, before closing at $41.50 at the close of trade on Tuesday.
But cracks started to appear in the strategy earlier this year when Fairfax Media exposed systemic wage fraud across the franchise network amid allegations by some franchisees that the business model was forcing them to cut corners, including selling visas in some instances or underpaying workers.
