FCA active in fighting WA state legislation

By Sarah Stowe | 29 Oct 2015 View comments

As the gloves come off in the battle over state legislation for the franchising sector, the Franchise Council of Australia has launched an intensive campaign to see off the proposed Western Australian private members bill introduced by Peter Abetz.

Steve Wright, the executive director of the Franchise Council of Australia, has highlighted the council’s concerns that “state-based legislation is bad for franchising — it will hurt investment and business values. There has been a lack of due process with this legislation and associated questions of probity.”

Wright said “There is no sign of any systemic issues in WA, and Mr Abetz offers no evidence to support the need for his draconian bill.”

The campaign includes a comprehensive submission to Government looking at commercial and legal weaknesses of the bill; briefing key MPs and letters to all MPs from WA franchisors, franchisees and suppliers; public statements by WA-based systems which fear the commercial results of the bill; and a member survey and petitions against the bill and against state-based legislation.

One franchise business, QSR, which has the Chicken Treat, Chooks and Red Rooster brands, may move its corporate headquarters and 3800 jobs interstate if the bill becomes law.

In a statement the chief executive of QSR, Mark Lindsay, said the company would be at a disadvantage against eastern states competitors, who would not have to meet the extra compliance burdens imposed by the WA bill.

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