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McDonald’s Manager Loses Dismissal Claim Because He Earned Too Much

McDonald’s manager loses dismissal claim because he earned too much

A McDonald’s manager has had his unfair dismissal claim thrown out because he earned too much money.

Since 1 July, the Fair Work Commission will only hear dismissal cases from workers who earn less than $167,500.

McDonald’s manager’s loses dismissal claim

Gold Coast-based Matthew Laurence worked for NGI Holdings for 15 years managing nine different McDonald’s restaurants.

He argued in the Commission that he earned an annual salary of $144,043 when the company sacked him on 21 April.

The maximum annual salary threshold for the Commission to hear a case at the time was $162,000.

However, NGI Holdings told the Commission Mr Laurance’s earnings including bonuses and allowances totaled $206,592.

McDonald's restaurant exterior at night

Gold Coast-based Matthew Laurence worked for NGI Holdings for 15 years managing nine different McDonald’s restaurants.

Bonuses and allowances

NGI Holdings provided Mr Laurence with a VW Touareg as his work car.

The company also provided $27,426 in domestic flights for Mr Laurence to travel between his Gold Coast home and his workplace in Albury/Wodonga.

Moreover, Mr Laurance received an annual clothing allowance of $2,300.

He also received a $2,400 annual allowance to spend on whatever he pleased.

This sometimes included buying coffee or dinners for work-related dinners with team members, he told the Commission.

NGI Holdings also paid $1,727 for an annual parking permit at Albury airport so Mr Laurence could leave his personal car.

The company also paid for fuel in both Mr Laurence’s company car – the VW Toureg – and his personal car, the commission heard.

Mr Laurence was employed under a “verbal agreement” employment contract and he was not employed under an award or an enterprise agreement.

He also bought a five per cent stake in NGI Holdings in 2020, the commission heard.


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McDonald’s manager earned too much

Commissioner Chris Simpson dismissed Mr Laurence’s claim for compensation finding his total annual earnings were $206,592 and not the $144,043 as he claimed.

The Commission has no jurisdiction to deal with claims made by workers who earn more than $162,000 ($167,500 since 1 July).

“I have concluded that both the flights and vehicle amounts should be included in the assessment of his earnings,” Mr Simpson wrote in his decision.


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