Hindley St nightclubs Woolshed, Downtown and Blackbull to lay off 100 workers as coronavirus restrictions bite

Staff from three Hindley St nightclubs will be laid off as COVID-19 restrictions on big gatherings begin to seriously hurt Adelaide’s hospitality industry.

At least 100 staff from three popular Hindley St hot spots are set to be sacked on Friday as the fallout of the Federal Government’s new coronavirus restrictions take its toll.

John Meek, owner of The Woolshed, Downtown and Blackbull, said the new restrictions – which ban indoor gatherings of more than 100 people – have forced him to make the heartbreaking decision to lay off most of his casual employees, mainly bartenders but also cleaners and maintenance staff.

“It may mean out of 150 (casual staff) … we might be able to keep 50,” he said.

Mr Meek said he pre-warned staff this week that job cuts were imminent following a crisis meeting with his management team.

Woolshed managers Jase Luth, owner John Meek, Alex Laughton and Andrew Chandler outside the Woolshed on Hindley St, preparing to let go of 100 staff. Picture: Matt Loxton

He expected to send letters to affected employers tomorrow afternoon.

“We build a lifetime of friendships, we call them Weekend Warriors, and we’re going to try to keep our key staff but … we’ve got to be able to trade profitably,” he said.

“I would prefer to close for three months but you have to keep the home fire burning otherwise you lose all your top management.”

Meek Hotel Group general manager Andrew Chandler said the full impact of the restrictions would be felt this weekend.

“As of this weekend, we go from 1250 capacity (at The Woolshed) down to 100 capacity,” he said.

Mr Chandler said the Blackbull’s capacity was 1300 while Downtown can fit 1600 people.

Mr Meek said he was hopeful his venues would each be able to be split into three separate areas, which would mean they could each have 300 people inside, but he was awaiting advice on this proposal.

Meanwhile, the Australian Hotels Association says people should not fear going to pubs, clubs and restaurants and is urging people to support businesses by showing up.

AHA boss Ian Horne said the already-struggling South Australian hospitality industry will be crippled even further – and some businesses won’t survive – as a result of the new rules.

“We’ve got members who are reporting 15 to 20 per cent drops since the weekend, and that was before this (new restriction was introduced),” he said.

“Continue to enjoy the wonderful hospitality of South Australia … to not do that will see them close and some of them will not be able to reopen.”