In a letter received by the TCFUA from the company's lawyers, Freehills, Michaelis Bayley has threatened to place the company into liquidation unless the workers accept the company's ‘take it or leave it' offer of approximately $2,600 each. The workers are owed up to $19,000 each, not including interest.
TCFUA State Secretary, Michele O'Neil, said Michaelis Bayley was deliberately exploiting WorkChoices and Corporations laws to restructure the company and strip its assets in order to rip-off its longstanding employees.
"The Government's WorkChoices and Corporations laws provide no genuine protection for these workers. The Howard Government has to step in to ensure these low paid workers receive their full entitlements. Companies like the Michaelis Bayley Group should not be allowed to create a maze of empty corporate structures to deliberately avoid paying workers their redundancies," Ms O'Neil said.
If Michaelis Bayley (Aust) Pty Ltd is successful, the predominately migrant women workers will be left with next to nothing despite having worked for the company on average for over 20 years. Michaelis Bayley (Aust) has sold the active Homy Ped brand and wholesale arm to another company that it jointly owns with the ANZ bank and others, called Michaelis Bayley Holdings Pty Ltd. Mr Frank Palazzo is an owner of both corporate entities.
The Union will hold a series of a public protest with the Homy Ped workers, while the Union pursues legal avenues to ensure the workers receive their entitlements.
