Former employees of The Edit salon chain in fight to recoup unpaid entitlements

The Edit salon chain owner says her family has been the subject of threatening phone calls and messages since her company went under — and pledged to cover all owed superannuation.

Former The Edit salon assistant Taylor Walsh at the closed Henley Square salon. She says she was asked to resign after repeatedly requesting her unpaid wages. Picture: AAP / Keryn Stevens

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A group of former employees of The Edit salon chain have joined forces in a fight to recoup unpaid entitlements following the winding up of five salons across Adelaide.

Early estimates from the liquidator of Fresh Hair & Body Pty Ltd, which forms part of The Edit group, suggest former employees are owed around $290,000 following the company’s collapse last week, including $200,000 in unpaid superannuation. Unsecured creditors are estimated to be owed close to $600,000.

Fresh Hair & Body operated five salons at St Agnes, Golden Grove, North Adelaide, Norwood and Henley Beach.

They all closed their doors last week, while The Edit continues to operate from three locations at Mawson Lakes, Hyde Park and Gawler.

Former employee Elena Spano, 27, said about 25 former employees of the hair and beauty network were liaising with the Fair Work Commission and the ATO regarding their unpaid entitlements, including unpaid superannuation dating back as far as 2014.

Ms Spano resigned in January after just three months working at the company’s Henley Beach salon.

She said she’s owed approximately $2000 in unpaid wages, superannuation and make-up reimbursement, after resigning due to “unreasonable” working conditions.

“I was working 12-hour shifts with no break — emotionally and mentally I couldn’t cope anymore,” she said.

“There are around 25 ex-employees, all with similar experiences.

“Many of us have resigned over the past few months due to not agreeing with the way the business was run.

Leah Brunoli, The Edit’s chief executive, in her North Adelaide salon.

“We want to make a stand due to the mental and emotional stress that we have all endured — some of us are still experiencing distress as we are owed annual leave, maternity leave and other entitlements.”

Ms Spano said former employees were chasing unpaid superannuation dating back as far as 2014, with some owed close to $10,000 in unpaid entitlements.

“We have contacted Fair Work (Commission) to seek legal aid help to assist in recovering our entitlements, however for many this too has failed, and many of us cannot afford a lawyer to help,” she said.

The Edit, which described itself as the state’s “largest private chain salon”, closed five salons last week after calling in liquidator Tarquin Koch from Tarquin Koch Accounting and Insolvency Services to wind up their operating entity.

Former salon assistant Taylor Walsh, 22, said she was asked to resign in January after ongoing requests for payment of unpaid wages.

“I live out of home so I was struggling to pay rent — I actually went to work and was only able to eat one meal a day because I couldn’t afford much more,” she said.

“Anxiety was through the roof — paying rent, bills, and it was around Christmas time as well so it was a very difficult time.”

As employees join the line of creditors and suppliers owed money following the salon closures, The Edit’s owner says her family has been the subject of threatening phone calls and messages since placing her company into liquidation last week.

Leah Brunoli, who continues to operate three salons under The Edit brand - at Mawson Lakes, Hyde Park and Gawler - said she had always done “my best to support and love each and every staff member”.

“I am shocked and upset to have read some of the comments left by former employees as I (had) many messages received by them during their time of employment stating how much they loved the company and how I was more than just a boss but a friend,” she said in a statement issued to The Advertiser.

“I have been generous in paying for staff lunches, social events, paid interstate travel and incentives - I have even personally paid for and held baby showers and bridal showers.

“This has been a very difficult time for everyone involved, past and present - many of us have suffered anxiety and stress.

“I have received numerous phone calls and messages threatening harm to myself and my seven-year-old daughter since going into liquidation.”

While superannuation is not covered by the Federal Government’s Fair Entitlements Guarantee scheme, Ms Brunoli today made a personal commitment to repay former employees their unpaid superannuation.

“If there is any unpaid superannuation owing to former employees following the liquidation process, then I will personally make up any shortfall to ensure former employees are paid their entitlements in full,” she said.

“I’m doing everything I can to continue to protect the brand and run my remaining business. Its success will make it easier for me to fulfil my commitment to past and present employees.”

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