Merivale’s chief executive Justin Hemmes has just released a statement regarding allegations of sexual harassment, drug use and exploitation as reported in The Sydney Morning Herald, Good Food and The Age. Mr Hemmes is not personally accused of engaging in any of the alleged conduct.
The leading hospitality group has also removed itself from the Australian Restaurant and Cafe Association board.
“I am devastated to read the allegations against Merivale concerning our staff and our culture,” Hemmes told over 5000 staff via email, as per the SMH. “Please be assured that we are taking this matter very seriously and do not condone, encourage or tolerate any of the behaviours which have been alleged.
“We will continue to work to address every allegation made within today’s article.”
Hemmes added that he was still proud of what Merivale achieved in the hospitality sector.
“Utmost in my mind is my concern for all of you, and especially for the distress caused by the aspersions that have been cast on those who work and have worked in the past, at Merivale and within the hospitality industry in general,” he said.
“I am overwhelmingly sad that today’s article broadly denigrates everything that we do.”
The chief executive made sure staff knew that there were “NO repercussions for speaking up”, saying that it “is absolutely encouraged”.
“We are living in a changing world, which in so many important ways is for the better.”
Merivale has since hired Kate Eastman SC, one of Australia’s top discrimination and human rights lawyers, to spearhead their investigation into the SMH’s allegations.
The hospitality group runs over 70 venues throughout Victoria and NSW. Their chief people officer, Jessica Furolo, removed herself from the Australian Restaurant and Cafe Association board this morning.
ARCA chief executive Wes Lambert also released a statement on Tuesday.
“ARCA in no way condones unsafe workplaces, sexual harassment or discrimination and it has no place in the hospitality industry,” Lambert said.
The Merivale allegations come one day after Swillhouse CEO Anton Forte stepped down from the company following bombshell allegations of a toxic work culture back in August. (Forte stepped back from ARCA in August.)
The Swillhouse allegations in August kicked off (yet another) moment of reckoning for the hospitality industry, but Prabha Nandagopal, ARCA’s workplace culture and sexual harassment consultant, said companies had been slow to act.
“Hospitality is having its moment of reckoning, and the more investigations like this that shine a light on what’s happening, I think it emboldens other people to speak out as well about their experiences,” Nandagopal said.
“I think we’ve seen a big shift in community expectations. There are enormous legal, financial and reputational risks. This type of behaviour, even if it has been normalised for some time in hospitality, needs to stop.”
Lead image: Getty & Merivale
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