🦘 Weekly News Recap - 18/03/2024 - 24/03/2024

G’day everyone!

Hope you’re enjoying your weekend!

It’s been a hectic week for Aussie businesses, so let’s take a look at the biggest stories from the past week.

Here’s a sneak peek of what’s to come:

• Maccas’ Systems Have A Meltdown

• Sticky Inflation Sends Markets Tumbling

• Uber Pays Up In Historic Settlement

• RBA Holds Interest Rates

• Power Bills Set To Drop In Australia

• 9 Day Work Fortnight Trials Start

• Airlines ‘Pay on Delay’ Bill Introduced

Maccas Meltdown: Global IT Glitch Leaves Fries Unserved

In an unprecedented McMeltdown, McDonald’s faced a global IT outage, leaving thousands of Big Mac lovers high and dry.

The glitch, striking around 3pm Friday, hit outlets in Australia, New Zealand, the US, Japan, parts of Europe, and Canada.

Chaos ensued as some stores shut down, while others could only accept cold, hard cash.

The outage, lasting a nail-biting 10 hours, ended with McDonald’s saying, “We’re back and we missed you!” around 1:15am Saturday.

The fast-food giant was quick to clarify that this was not a cybersecurity event but a technical hiccup.

Social media was abuzz with hangry customers, with one joking, “Go to Hungry Jack’s. The burgers are better at Hungry Jack’s.”

Despite the disruption, McDonald's expressed gratitude for the patience and support from customers and staff, ensuring that efforts were in full swing to get all restaurants back online.

The world held its breath (and its hunger) as the Golden Arches worked tirelessly to resolve the issue, demonstrating the vital role of technology in keeping our beloved fast-food chains running smoothly.

Inflation’s Sticky Situation Derails Market Momentum

Just when markets were doing the bull run boogie, sticky inflation stepped in to crash the party.

The U.S. threw a curveball with inflation rates bouncing higher than anticipated, putting the brakes on the expected rate cuts by the Federal Reserve.

This jittery jitterbug danced through to Australia, where the Reserve Bank's rate cut dreams for September got a cold shower of reality.

Traders, once buoyant, dialed back their optimism, with the Aussie sharemarket taking a nosedive, erasing a record rally.

The plot thickens with oil prices hitting a high note and global demand forecasts turning the volume up.

This duo suggests inflation might stick around like an unwanted guest. 

Bond yields are feeling the pressure too, jumping up as investors recalibrate their expectations.

Market strategists and bond gurus are reading the tea leaves, hinting that the easy-going rate cut narrative might need a rewrite. 

With the economic script still being written, all eyes are on the next moves by the Fed and the RBA, as they navigate through inflation's choppy waters.

Uber Coughs Up $271M to Aussie Cabbies in Historic Settlement

Uber is forking out $271 million to settle with Australian taxi drivers.

The ride-sharing juggernaut, which has been accused of bulldozing into the Aussie market and wreaking havoc on traditional cabbies’ incomes, has agreed to this settlement after more than 8,000 taxi and hire car owners brought forth a class action lawsuit.

The legal skirmish, orchestrated by Maurice Blackburn, is now recorded as the fifth-largest class action settlement down under.

The dispute, which could have dragged on for ten grueling weeks in court, was wrapped up swiftly on a Sunday night, with a formal settlement schedule to be presented in April.

At the heart of the tussle, former Melbourne taxi driver Nick Adrianakis stands tall, sharing a tale of loss and resilience after Uber’s entry cost him millions. 

As Maurice Blackburn's principal puts it, this settlement is a significant victory against a global giant, a testament to the power of collective action.

Uber, on its end, has voiced commitment to moving past these legacy issues, emphasizing its role in enriching Australia’s transport mix and offering new opportunities for workers.

Interest Rate Standstill: RBA Hits Pause Amid Economic Slowdown

The Reserve Bank of Australia (RBA) has kept interest rates glued at 4.35%, putting the brakes on after a rollercoaster of 13 hikes since May 2022.

With the economy showing signs of a slowdown, the RBA is playing the waiting game, keeping everyone guessing about the next move.

Although inflation is still higher than desired, it's showing signs of cooling down, prompting the RBA to hope for a return to the 2-3% target range by 2025.

RBA Governor Michele Bullock remains cautious, emphasizing the need for more data before confidently slashing rates.

Economists are leaning towards a rate cut scenario in the second half of the year, with some predicting delays until November.

The big question remains: when will the RBA feel confident enough to cut rates, and can the economy sustain growth without stirring the inflation pot?

As households and businesses buckle under the weight of previous rate hikes, the future direction of Australia's monetary policy hangs in a delicate balance.

Power Bills to Drop as Australia Embraces Renewable Energy

In a breath of fresh air for households and small businesses, power bills are finally set to decrease after two years of steep hikes. 

Thanks to the Australian Energy Regulator's decision, most customers on the eastern seaboard will see a reduction in their electricity costs by up to 7% for households and 10% for small businesses starting July 1. 

This shift comes as the Albanese government makes strides in renewable energy, aiming to slash power bills by $275 by 2025.

The drop in prices is attributed to the growing influx of renewable sources like wind and solar into the electricity grid, proving that clean energy can be both a cost-cutter and a planet-saver.

However, the opposition criticizes the government's energy policies, arguing they contribute to the instability of electricity supply.

As Australia continues to transition towards a greener future, this upcoming decrease in power bills marks a significant milestone in the journey towards affordable, sustainable energy for all.

Bupa's Bold Leap: Trialing a Nine-Day Fortnight for the Work-Life Win

Bupa is redefining the grind with its latest experiment: a nine-day fortnight.

This innovative approach allows employees to enjoy a three-day weekend every other week, all while pocketing their full salary.

It's a pioneering move following Medibank's own foray into a shortened workweek, signaling a growing trend among corporate giants to rethink traditional work models.

This trial is not about cramming more hours into fewer days but rather optimizing productivity within a shortened timeframe, ensuring that customer service remains uninterrupted.

Various employees are taking staggered days off, a strategy aimed at maintaining a steady workflow.

While Bupa has yet to divulge the rationale behind this experiment, the implications are clear: a happier, more balanced workforce could revolutionize workplace dynamics.

This shift towards flexible working arrangements is gaining traction, with entities like Findex and Unilever leading the charge towards a more adaptable and satisfied employee base.

The potential benefits are immense, from enhanced employee well-being and engagement to attracting top talent craving work-life harmony.

As this trend continues to evolve, it could very well pave the way for a new standard in the professional realm, making the traditional five-day workweek a relic of the past.

Navigating Turbulent Skies: A Call for Better Airline Consumer Protections

In a move that could dramatically shift the landscape of Australian aviation consumer rights, Coalition senators Bridget McKenzie and Dean Smith have introduced the Airline Passenger Protections (Pay on Delay) Bill. 

This legislative push seeks to hold airlines accountable for the inconvenience caused by flight delays, cancellations, and boarding denials, advocating for mandatory compensation for affected passengers.

Inspired by the frustration of countless travelers over the Qantas ticketing scandal and the broader issue of declining service standards, this bill aims to align Australia with international norms on passenger protections observed in the EU, UK, and Canada.

The proposed reforms come in response to an alarming rate of service disruptions, with nearly 30% of flights facing cancellations or delays, particularly during the peak January holiday period.

By challenging the status quo and demanding concrete protections, this bill could mark a significant step towards ensuring fairness and reliability in the aviation industry, potentially transforming the travel experience for Australian consumers.

That’s All!

What an eventful week it’s been!

Here’s to another week full of equally exciting twist and turns and as always - we’ll be here to give you the scoop!

Keep an eye out for tomorrow's newsletter in your emails. Until then, have an awesome day folks!