T3168
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TASMANIAN INDUSTRIAL COMMISSION Industrial Relations Act 1984 MUSICIANS' UNION OF AUSTRALIA and H C THEATRE COMPANY
REASONS FOR DECISIONS The Musicians' Union of Australia, Hobart Branch (MUA) sought the assistance of the Commission in respect of an industrial dispute with H.C. Theatre Company (the Company). Mr Cushion for the MUA informed the Commission that the Company had significantly underpaid members of the MUA involved in the performance of The Sound of Music at the Mt Nelson Theatre between 5 and 14 June 1991. This was not disputed by Mr Ireland who appeared for the Company. Mr Ireland submitted that takings from the performances conducted at the Theatre were stolen during the last performance. This resulted in a substantial shortfall in funds available to pay wages and creditors generally. Exhibits tendered by Mr Ireland detailed arrangements made by the Company to repay $13,200 to creditors including an amount of $4,500 for outstanding wages. Following the sworn evidence of Mr Coghlan, the owner/manager of the Company, I accepted with some reluctance, that outstanding wages to the musicians involved in The Sound of Music could not be expedited and that the $50 a fortnight offered by Mr Coghlan was all that he could reasonably afford to make good the shortfall. Other available funds are being remitted to other creditors by the Island State Credit Union. Clearly the circumstances in this matter leave a great deal to be desired. Notwithstanding the apparent theft of takings on the night of the final performance, it is beyond the Commission's comprehension why takings from earlier performances were not banked or secured in some other appropriate manner. Also I do not understand that productions like The Sound of Music can be undertaken when funds are not available, in the first instance, to pay for the basics such as costumes, advertising, flowers, theatre hire, musical rights and of course wages. This production was undertaken on the basis that paying customers would defray all costs. Whilst the Commission readily understands that some entrepreneurial risks are involved in this type of venture, I do not accept that the production should have gone ahead when the Company apparently had no reserves of capital to meet even its most basic obligations. Whilst not relevant to these proceedings I noted that Mr Coghlan proposes to undertake further ventures which from my observation will be similarly predicated as for The Sound of Music. I simply caution that appropriate arrangements should be made for the payment of wages in the event paid performers are to be involved. This file is closed.
R K Gozzi Appearances: Date and place of hearing: |