The 7-Eleven business model is built on virtual "slavery" and if workers were paid correctly many stores would collapse, a whistleblower claims.

"The business is very proud of itself and the achievements and the money it's made and the success it's had. But the reality is it's built on something not much different from slavery," the unnamed insider told the ABC's Four Corners program last night.

The whistleblower said that the convenience store franchisers were aware of the systemic underpayment of staff, many of whom are international students, but did virtually nothing to stop the practice.

"I've heard it [underpayment of wages] being joked about at senior levels at meetings," he said.

"At lower levels it's discussed all the time ... everyone knows about it. No-one likes it, but people want to keep their jobs so they stay quiet."

A video shot secretly at a 7-Eleven in Brisbane shows a franchisee and two agents allegedly telling an undercover consumer advocate Michael Fraser that workers can be hired even without a visa and paid as little as $5 per hour.

"You can hire someone without a visa. You can," a man whose face is blurred says.

"If you hire someone without a visa, then $5 an hour, you know?"

Mr Fraser said that he is yet to meet a 7-Eleven worker who has been paid correctly.

“I've been to 60 stores in three states and spoken to 100 people, every single person has been underpaid," he said.

7-Eleven head office has reportedly gone into "panic mode" since the organisation became made aware that the ABC and Fairfax Media were investigating the company.

Documents reportedly uncovered by the probe found that between July and August a review of 225 stores found that two thirds had payroll compliance issues.

The whistleblower said some franchisees were open about not paying award wages, saying they did it "to save money".

7-Eleven has announced that it will set up an independent panel to investigate the accusations in the wake of the media scrutiny.

"The company has committed that any existing franchisee, who no longer wants to participate in the system, 7-Eleven Stores Pty Ltd will refund the franchise fee paid, and help to sell any store where a goodwill payment has been made," CEO Warren Wilmot said.