7-Eleven has announced it is getting rid of an independent wage panel established to assess workers' entitlements.

The company was hit hard by recent revelations that many franchisees were drastically underpaying their workers – some receiving as little as $10 an hour.

The independent panel, chaired by Professor Allan Fels, will now stop work and be replaced with an internal unit.

Opposition leader Bill Shorten says the decision to drop the panel is “disturbing”.

“I understand now that the company's decided they will just check these matters out themselves,” he said.

“I also understand they're going to set a higher standard for evidence than the reasonable standard which Professor Fels and other independent people were using.

“We hear reports about threats to the 7-Eleven workers making claims. I am deeply disturbed at this turn of events.”

Fair Work Ombudsman Natalie James has issued a statement saying she had “noted with concern” the dismissal of the panel.

The FWO says its investigations into a number of franchisees remain active.

“There is also a real prospect that we will take legal action against more 7-Eleven operators,” Ms James said.

“We are yet to be satisfied that 7-Eleven is meeting the expectations we have of it following the public release of our findings [from a recent inquiry into the company].”

7-Eleven chair Michael Smith has defended the company in an interview with the ABC.