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Red Cross Moves to Wage-Based Fundraising Model

Humanitarian aid agency, Australian Red Cross has moved all of its third party fundraising to an employment model.

The charity said the move would ensure all face-to-face and door-to-door fundraisers working on their behalf “receive at least the minimum wage and other legal entitlements ‰ÛÒ rather than working on a solely commission basis”.

Red Cross said that since July, it had only worked with agencies that allowed it to engage their fundraising staff as employees.

“We wanted to make doubly sure that people who raise funds for our life-changing work get a fair day’s pay for a fair day’s work,” Kerren Morris, head of income growth and innovation, said.

“In addition to guaranteeing workers’ legal entitlements, we’re also asking third party agencies to ensure the health, safety and welfare of employees and the highest standards of behaviour in all their dealings.

“We are always reviewing what we do and how we do it, we believe this is a step in the right direction.”

In 2016 a fundraising company and its director were penalised a total of $124,000 for underpaying a backpacker working as a charity collector in Sydney.

Australian Sales and Promotions Pty Ltd (ASAP), which fundraises on behalf of charity and not-for-profit organisations, was penalised $100,000 in the Federal Circuit Court, following legal action by the Fair Work Ombudsman.  The company’s sole director and part owner, Paul Ainsworth, was penalised a further $24,000.

To view the full Pro Bono article, click here.

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