The Media Entertainment and Arts Alliance is concerned for workers involved in Entertaind’s production of Little Shop of Horrors and the Australian School of Theatre after the companies announced they were going into liquidation.
In a post to Facebook last week, the two businesses said their last day of trading was on Thursday March 10.
However, according to ASIC, LEGgroup, the parent company of Entertaind and the Australian School of Theatre, is still active.
The MEAA said it contacted the proposed liquidator and was doubtful the group had the capacity to pay or that the liquidator would accept the appointment.
Business News understands HLB Mann Judd was contacted by LEGgroup director Scott-Leonard Landers to act as liquidator.
A spokesperson for HLB Mann Judd confirmed it had been approached by Mr Landers but declined to accept the case.
The union said 29 employees from the production of Little Shop of Horrors were yet to receive payment for their work but was unsure how many employees would be impacted at the Australian School of Theatre.
In social media posts, Entertaind admits its November performances of Little Shop of Horrors had lower-than-expected patronage.
It said the final settlement from ticket sales was only slightly more than $9,000.
“Unfortunately, our ambitious effort to smoothly transition from our previously more intimately scaled productions to a venue with the Regal Theatre’s capacity, was not realised,” a social media post read.
“We are working with stakeholders to ensure that our obligations are met at the earliest possible opportunity, but will be suspending our upcoming seasons in the interim.”
According to the MEAA and the artists Business News spoke to, the company organised payment plans to pay staff but later defaulted on them.
Actor and singer Jamie Mercanti, best known as Slim Jim, is one of the artists affected.
He said he was owed $7,500 from Entertaind.
He was offered a payment plan, but never received any money.
Mr Mercanti said artists had already been heavily affected by restrictions to stop the spread of COVID-19, and instances like this only added to the sector’s financial hardship.
“It was bad enough and now this has put vinegar in the cut,” he said.
“Our industry does not need this.”
Actor and producer Kier Shoosmith is owed about $5,000 for his role in Entertaind’s Little Shop of Horrors production.
Mr Shoosmith said he wasn’t sure if he would ever see the money he was owed, but he wanted to make sure other production companies could not get away with not paying their staff.
“I hope that other companies who aren’t doing the right thing get put on notice,” he said.
“I hope that Scott is at least isn’t going to be working in the industry or allowed in this position again.”
Employees involved in the show have been vocal on social media about their unpaid wages and the treatment of staff on set.
The MEAA said the employment status of the music teachers engaged at the Australian School of Theatre was unknown, but said if they were contractors, they might not be eligible to claim for lost work under the Fair Entitlement Guarantee.
In a letter to the MEAA seen by Business News, Mr Landers said only one staff member at the school was a contractor.
The MEAA also said refunds for pre-paid tuition had not been made to students.
LEGgroup has other trading names, including BAKKBONE Australia, which operates as a telecommunications company.
Mr Landers was contacted for comment.