LNP MP Rob Molhoek accused of leaving staff of failed business ‘out in the cold’
WORKERS at a natural remedies company who lost their jobs after it collapsed have accused an MP who was a director of the controversial business of “putting people out into the cold”.
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WORKERS at a natural remedies business where LNP MP Rob Molhoek was a director have lost their jobs after the company collapsed.
Disgruntled staff members are chasing severance payments after the business, which distributed naturopathic products, went into administration this month.
Mr Molhoek resigned from the board of Natural Remedies Group shortly before the company collapsed.
He is still a director of a related company, Natural Vitality Australia, which manufactures goods that are marketed as herbal medicines and conducts a very similar business.
The companies attracted attention in the past after it emerged they sold colloidal silver – a dangerous supplement that can leave skin stained blue if misused – despite warnings about the product from the Therapeutic Goods Administration.
Mr Molhoek’s fiancee Weiqun “Lucy” Gu is one of only a couple of shareholders in both companies.
The MP told The Courier-Mail he took on the unpaid board director roles “out of the goodness of my heart” to keep an eye on his partner’s investment.
He said he resigned from the board of Natural Remedies Group “about two months ago” because of “philosophical differences” with other board members about the future of the distribution business.
“I had been suggesting to the board for some time that we need to get out of that business and focus on manufacturing products,” he said.
He said it “absolutely concerns me” that staff who lost their jobs had not been paid and that he had tried to help them.
“There have been undertakings given to people that they will be paid,” he said. “They have already received some part payments.”
He said he told former staff he would “advocate on your behalf” and also spoke to the company director to check on the welfare of those who lost their jobs.
“I actually contacted every one of them personally over a week ago just to explain to them the process,” he said. “I will do everything I can to make sure that they are looked after.”
But former staff told The Courier-Mail Mr Molhoek had not helped them.
“He proclaims he is about jobs for Queensland but when it comes to his own staff there is no care,” one former staff member said. “He put people out into the cold.”
Some staff from the failed business were shifted to the sister company but others, including a number of casuals who do not receive payouts, lost their jobs.
Mr Molhoek said six employees were entitled to redundancy payments and three of those had already found other work.
Administrator John Shanahan said he had contacted former staff and was seeking details of their contracts to confirm their payout entitlements.
“I’ve only heard from three or four employees,” he said.
He said the company had not yet gone into liquidation and debts would be divided between staff and other creditors when this happened, most likely next month.
In the meantime, staff have been directed to the federal Fair Entitlements Guarantee.