Merivale Group
Merivale Group is one of the largest hospitality groups in Sydney. Their holdings include The Ivy, The Establishment, Newport Arms Hotel, Hotel Centennial, and The Coogee Pavilion.
The group was founded by John Hemmes and his wife Merivale, and originally began as a fashion label, followed shortly after by a Thai-style tea café in 1970. Their eldest son, Justin Hemmes, after inheriting the role of CEO, purchased many historic inner city venues.[1] The group now holds a portfolio of over 70 bars, restaurants and entertainment venues.
Controversies
The Alexandria Hotel
In 2016, the historic Alexandria Hotel, in Sydney’s inner south, was under threat from property developers. After the Alexandria Residents Action group succeeded in having the development blocked by the Land and Environment Court, and obtaining a heritage listing for the building,[2] Merivale purchased the building, announcing plans to redevelop and reopen the venue.[3] At the time, Hemmes was quoted as saying: “The more I read about its history, the more I thought, ‘this pub cannot be demolished’”.[4] However, as of June 2019, the pub remains derelict, with windows boarded up, covered in graffiti, and does not appear to be receiving even reactive maintenance. Local police have been called to investigate intruders on the grounds on multiple occasions. The pub is no longer listed as a holding on Merivale’s website, and local residents speculate that the company intends to allow the building to deteriorate until it is beyond salvage, and then demolish it and redevelop the site.[citation needed]
Fair wages for workers
For some 12 years (2007–2019), the Merivale Group used a Work Choices-era agreement with lower hourly rates of pay and almost non-existent penalties for weekend and public holiday shifts; however, in January 2019, the Fair Work Commission ruled that Merivale must start paying its 3,000 employees under the current hospitality award from March 2019 onward. The Fair Work decision followed a campaign by the union United Voice, which said some staff had been paid up to 20 per cent less than they should have.[5] In a submission to the Commission, Merivale said its future viability would need to be reviewed if it had to pay workers more. In the wake of publicity around Justin Hemmes’ recent purchase of an AUD $40 million private jet, this statement was met with some incredulity.
Subsequent to the ruling by the Fair Work Commission, the Merivale Group announced it was cancelling its annual staff Christmas party, a move that many believe to be retaliation on behalf of management. This will be the first year the lavish annual event has not been held since 2004. One employee was quoted as saying “I think it’s a pretty sh*tty [move] when [Hemmes has] been bumping his gums about buying a $40 million private jet [last] year, then he cancels a staff party. Bah humbug.”[6]
References
- ↑ "A history of Merivale". The Shout. 2015-03-23. Retrieved 2019-06-17.
- ↑ Speechley, Gary (September 7, 2016). "The Alex has been saved!". South Sydney Herald.
- ↑ "Merivale Is the Proud New Owner of the Alexandria Hotel". Concrete Playground. 2016-08-11. Retrieved 2019-06-17.
- ↑ "Hemmes to tell of plans for 'The Alex'". www.dailytelegraph.com.au. 2017-09-01. Retrieved 2019-06-17.
- ↑ Farrell, Paul; McDonald, Alex (2018-11-12). "Merivale staff move to kill off 'unfair' pay agreement". ABC News. Retrieved 2019-06-17.
- ↑ "Justin Hemmes accused of punishing staff over fair wage decision". NewsComAu. 2019-01-24. Retrieved 2019-06-17.
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