top of page

Public Hospitality Group Restructuring: What Does it Mean for Australian Hospitality Jobs?

The Public Hospitality Group (PHG), a major hospo player led by Jon Adgemis, has been under financial scrutiny for months. Recent developments, including the cessation of operating contracts and reports of businesses entering administration, have further intensified this scrutiny. Let's delve into the situation and explore the potential impact on Australian hospitality jobs.

chef prepping food

Key Developments and Job Insecurity:

  • Loss of Operating Contracts:

  • Alpha Restaurant: A recent blow to PHG's portfolio is the loss of Alpha restaurant, a Sydney CBD venue previously under their control since December 2023. The Hellenic Club, which owns the restaurant, has transitioned operations to experienced restaurateur Con Dedes. This raises questions about the future of staff who were employed under PHG's management.

  • Beta Events: The contract for Beta Events, located alongside Alpha restaurant, has also been terminated with PHG. The impact on staffing for this event space remains unclear.

  • External Administration for Venues: Filings with the Australian Securities and Investments Commission (ASIC) indicate that companies associated with The Rose Hotel on Oxford Street and the vacant Kurrajong Hotel in Erskineville have entered external administration. This process could lead to job losses for staff at these venues depending on the administrator's decisions.

Industry Experts Weigh In:

While the full extent of job losses remains unclear, industry experts believe the restructuring could have a ripple effect."A period of financial uncertainty within a hospitality group can lead to a cautious hiring environment across the industry, potentially impacting job security beyond the immediate portfolio," says a spokesperson for the Australian Hotels Association. The uncertainty surrounding PHG's financial health might create a similar situation.

A Look Ahead: Potential Opportunities Amidst Challenges

While job losses are a significant concern, restructuring can sometimes lead to new opportunities. Although PHG hasn't publicly disclosed detailed plans, a streamlined operation or a shift towards new ventures could create openings in different roles.


Focus on Specific Region: Melbourne in Focus

For chefs and hospitality professionals based in Melbourne, PHG's situation is particularly relevant. The group maintains a portfolio of several venues in the city, including The Strand Hotel, Lady Hampshire, Empire Hotel, and Saint George. While there haven't been any official announcements regarding staffing changes at these establishments, the ongoing restructuring suggests these venues might be impacted. Melbourne-based hospitality professionals are advised to stay informed about developments and consider exploring alternative job opportunities as a precaution.

Staying Informed:

The Public Hospitality Group restructuring is a developing story with potential implications for Australian hospitality jobs. We'll continue to monitor the situation and provide updates as they become available. In the meantime, hospitality professionals, particularly those working within the PHG portfolio or the broader Australian hospitality industry, are advised to stay informed about developments and consider exploring job search resources for potential opportunities.

Additional Information:

  • The loss of Alpha and Beta Events adds to a string of departures from PHG's portfolio. Earlier this year, Love Tilly Group ended its partnership, resulting in the closure of La Salut wine bar and Fabbrica inside Sydney establishments.


Comments


chefhirelogo.PNG
bottom of page