Grocon pays back some of the money owed to subbies, but axes their own Queensland staff

SUBCONTRACTORS to Grocon have started receiving the money they’re owed. But Grocon’s staff have little reason to celebrate.

GROCON have made good on their promise to pay off part of their debt to subcontractors and suppliers for the Commonwealth Games Athletes Village.

However, now the bite is on their own staffers, who have been told their positions would be made redundant as the company’s Queensland operations cease.

Jeremy Bell of SEQ Commercial Cleaning that worked on the 2018 Commonwealth Gams athletes village. Picture: Jerad Williams

Grocon, which is unlicensed in the state, finally made payments for work done in September, due at the end of the October, on Friday night.

Commonwealth Games Athletes Village. Picture: NIGEL HALLETT

More payments, due last month for work completed in October, are expected to be paid this Friday.

Subcontractors were owed millions of dollars for their work on the Parklands site as Grocon struggled to cope with losses totalling more than $20 million.

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Among them was Emily Morgan who feared her business, SEQ Commercial Cleaning, would have to shut down and put off its 25 staff if it wasn’t paid on time.

She can now relax for Christmas after their September payment came through on Friday night.

“It felt really good to see it there in our account, just a huge relief,” Ms Morgan said.

“At least it gives us the confidence that they will make good on the rest.”

Gold Coast 2018 Commonwealth Games Corporation.

Ms Morgan had paid her staff what they were owed, but had been unable to confirm they’d have jobs to return to in the new year.

She said other cleaning businesses had phoned her to offer positions for her staff if she’d had to let them go.

“Other cleaning companies called and said `we’re so sorry this is happening to you’,” she said.

“We’re thankful we don’t have to take them up on it but it was really kind.”

Grocon did not answer questions about how many people would be made redundant and declined to comment except to say the positions were redundant because the project was finished.

A spokesman said the company would not apply for its Queensland builder licence until it found new projects to work on in the state.