Gloria Jean's
Coffee retailer
Over 800 stores in 39 countries (470 stores in Australia), mostly franchises. Previously owned and run by senior members of the Hillsong Church in Australia, who are still involved in the running of the company. Acquired by Retail Food Group in Oct 2014.

Overall

Owned AUS
Rating D
About the Ratings

Company Ownership

Gloria Jean's Coffees International Pty Ltd
AUS
Retail Food Group Ltd
owns 100% of Gloria Jean's Coffees International Pty Ltd
AUS
Retail food franchising
One of Australia's largest retail food brand managers, franchisors and wholesale coffee roasters. RFG owns the Donut King, Brumby's Bakery, Michel's Patisserie, bb's cafe, Esquires, The Coffee Guy, Pizza Capers Gourmet Kitchen and Crust Gourmet Pizza franchise systems. Acquired Cafe2U and Gloria Jeans in 2014.

Company Assessment

Gloria Jean's Coffees International Pty Ltd
Criticism
The Green Supply Chain Corporate Information Transparency Index (CITI) evaluates consumer-facing companies that have a sizeable supply chain in China. The evaluation uses government supervision data and public information to assess the environmental management of their supply chains in China. This company received a score of 0/100 (retrieved 24 Nov 2023).
Source: IPE (2023)
Information
In 2009 Mercy Ministries admitted it had engaged in false, misleading and deceptive conduct by wrongly claiming their residential care programs were free and included support from psychologists, dietitians, general practitioners and counsellors. The admission was part of an ACCC ruling, after an 18-month investigation into complaints from former residents who were forced to undergo exorcisms and use prayer to treat serious health problems such as bipolar disorder and anorexia. The ACCC ordered the former directors (including Gloria Jean's co-founder Peter Irvine) to pay $1050 to each of the 110 young women who took part in their programs from January 2005 to June 2008. Mercy Ministries was sponsored by Gloria Jean's and advertised in Gloria Jean's cafes around Australia. This sponsorship was withdrawn in 2009.
This company sells Rainforest Alliance certified coffee. However this only represents a fraction of this company's total coffee sales. Rainforest Alliance certification has been dubbed 'Fairtrade light' by critics, as it offers producers no minimum price for their crop, and guarantees a minimum of just 30% of the product is certified.
This company is listed on the RSPCA Australia website as 'cage-free and proud', signifying that this business is sourcing cage-free whole eggs or eggs used as an ingredient. Essentially cage-free means barn laid, which is better than cage eggs, but still much worse than free-range or organic eggs when it comes to animal welfare.
The "Boycott Gloria Jeans" website was started in June 2012 in response to relevations that Gloria Jeans donated $30,000 to the Australian Christian Lobby in the lead up to the 2010 federal election, when the ACL was lobbying the government to oppose same sex marriage.
Retail Food Group Ltd
Praise
This company received a packaging performance level of 3 (Advanced) in its 2024 APCO Annual Report. Australian Packaging Covenant Organisation (APCO) is a not-for-profit organisation leading the development of a circular economy for packaging in Australia. Each year, APCO Members are required to submit an APCO Annual Report and Action Plan, which includes an overall performance level from 1 (Getting Started) to 5 (Beyond Best Practice).
Source: APCO (2024)
Between 2015 and 2018 this company paid $57.2 million tax on a total income of $640 million, earning the number 32 spot on Michael West's Top 40 Tax Heroes 2020. West calculated which of Australia's largest companies have paid the highest tax rates using three years of tax transparency data published by the Australian Tax Office.
Criticism
In Dec 2022 ACCC has accepted a court-enforceable undertaking from this company, who agreed to make payments to and waive historical debts of a number of affected current and former franchisees, in relation to the purchase of certain corporate stores by these franchisees. RFG will also pay $5 million to franchisees of Michel Patisserie stores who paid levies into that franchise's marketing fund between 1 July 2012 and 30 June 2017. As a consequence, the parties have agreed to settle the proceedings which the ACCC commenced against RFG in December 2020, in relation to alleged unconscionable conduct and false and misleading representations made in its dealings with franchisees.
Source: ACCC (2022)
Information
In July 2012 the Retail Food Group was forced to issue a prompt apology after its managing director, Deane Priest - who has since resigned - wrote to Brumby's franchisees suggesting they lift their prices and 'let the carbon tax take the blame'. Brumby's escaped a hefty fine when the ACCC accepted a court-enforceable undertaking from Retail Food Group that it would not engage in similar conduct in the future.
A third law firm is preparing to launch a class action against this company for its failure to disclose troubles within its franchise network. Retail Food Group's market value more than halved in December 2017 when media reports of mistreatment of franchisees were first published.
In 2024 this company entered into a binding deed to settle the class action filed by some of its former franchisees. The settlement involves a dismissal of the proceeding by the applicant without RFG making any admission or payment. However, as part of the agreement, RFG will release applicable members of the class action from historical debts alleged in the proceeding.
According to data released by the Australian Tax Office in Jan 2021, this company was one of many local and foreign-based companies that paid no tax in Australia in 2018-19. Please note however that companies pay income tax on profits, not revenue (total income). While some companies use tax havens and loopholes to avoid paying their fair share of tax in Australia, other companies that paid no tax have perfectly legitimate reasons.
Source: ATO (2022)

Company Details

Type:
Wholly-owned subsidiary

Contact Details

Address:
11 Hoyle Ave, Castle Hill, NSW, 2154, Australia
Phone:
02 9846 0900
Freecall:
1800 689 550
Website:
www.gloriajeanscoffees.com.au

Products / Brands

Gloria Jean's
Gloria Jeans Coffee
★ some products Rainforest Alliance certified