Former employees file complaints against Kreab for not receiving superannuation yet
Kreab Gavin Anderson, which used to be one of Australia’s top communications operations, reportedly failed to pay its staff superannuation based on a federal inquiry. The Cayman Islands registered firm allegedly owes several former staff of about $1.8 million wages, as well as super and leave entitlements.
Nicole Miller, one of the former agency's office managers, recently revealed that their superannuation entitlements have not been paid yet. She said she is still waiting for over $6000 in superannuation to be paid by the firm, which went into voluntary administration on December 23.
She sent a written submission to the inquiry details in which she claimed that she asked “to the point of haranguing” for her entitlements to be paid, but were ignored. Miller‘s service to the firm was between April 2015 and October 2016.
In mid-2015, Miller filed a complaint to Australian Taxation Office (ATO) in which she obtained about $1200 worth of super. However, the film supposedly continued underpaying staff.
Other former employees at Kreab Gavin Anderson who were also owed money filed complaints to the ATO as well, but the office has not told them about its measures to recuperate the outstanding money owed, Sydney Morning Herald reports. Nick Popovich, another former employee of the firm, expressed disappointment on how his case has been handled."The ATO's response to non-payment of super, in my experience, was one of disinterest," he said.
Popovich added that the mindset of some employers that super is an "additional cost" needs to be modified. "It needs to be seen as the same as any other wage component, like sick pay, holiday pay, overtime," he suggested.
Per the submission, former managing partner, Michael Morgan, and chief financial controller, Blayne Northcote, have not been compelled to clarify why they did not pay staff superannuation yet. By law, employees who earn more than $450 per month must receive 9.5 percent SG.
Morgan had spoken up about the issue, saying employees will receive their outstanding entitlements."Now that the company is in liquidation and its assets have been realised, any outstanding entitlements will be paid to employees by the administrators as a priority. This has been communicated to former staff by the administrators,” he told Fairfax Media.
In 2009, the Australian arm of Swedish consultancy Kreab merged with New York's Gavin Anderson & Co. It was under the management of Morgan, a former Labor Party senior official. Morgan had also previously worked on high-profile campaigns, such as the “Kevin07" federal election campaign in 2007.
