Mushroom Group splits from The Harbour Agency after workplace culture complaints
One of Australia’s largest independent music companies has split from the Harbour Agency after staff complaints about workplace culture.
One of Australia’s largest independent music companies, Mushroom Group, has sensationally split from one of its live music booking agencies after historical staff complaints about workplace culture.
Established in 1978, Sydney-based The Harbour Agency represents the live music interests of some of the nation’s most popular recording artists, including John Farnham, Kasey Chambers, Guy Sebastian, Jessica Mauboy, Missy Higgins and Human Nature.
In a statement issued exclusively to The Australian on Tuesday morning, a spokesperson said, “Mushroom Group can confirm that The Harbour Agency is no longer part of the Mushroom Group of companies.”
“For many years now Harbour has operated independently of the Mushroom Group. Unlike all other Mushroom Group companies it has not shared HR, legal, finance or other group corporate services.”
“Recently several former Harbour Agency staff contacted Mushroom with historical allegations about management behaviour and workplace culture of the Harbour Agency,” said the spokesperson.
“External investigators were appointed and the concerns raised were investigated, including via interviews with a number of former staff. The issues raised by the investigation have been taken seriously and are now being addressed by the directors of Harbour Agency.”
“Mushroom doesn’t have a controlling shareholding in Harbour, nor input into the decision making process at Harbour,” said the spokesperson. “The findings of the investigation emphasised the lack of direct day to day visibility and influence we have over the running of the Harbour business.”
“At Mushroom we take the creation of a positive and creative workplace culture seriously and, without the ability to influence the culture at Harbour, Mushroom has made the decision to formally separate the business from the group.”
The nature of the complaints about management at The Harbour Agency made to Mushroom is unclear. Philip Jacobsen, Frank Stivala and the estate of Michael Gudinski are listed as its directors on Harbour’s website, while Tony Grace Guarrera is listed as senior booking agent.
On Tuesday morning, The Harbour Agency issued a statement to The Australian in response to Mushroom Group’s decision, which is republished in full below.
“The Harbour Agency has traded as an independent company since foundation in 1979. During this time, its directors and shareholders have evolved. Currently, the directors include original founding members, the Michael Gudinski Estate, Frank Stivala and Philip Jacobsen. The shareholders remain unchanged at present, despite the Mushroom Group’s decision to separate the Harbour Agency from its group of companies.”
“The governance of the agency has remained under review with Mushroom not taking up a seat on the board since the passing of Michael Gudinski. During this time, the founding members Frank Stivala and Philip Jacobsen, along with the dedicated staff of the Harbour Agency have continued to provide a high level of service to our clients and the wider industry.”
“For the avoidance of doubt, The Harbour Agency has not been sold, nor received offer, or are in the midst of seeking out potential buyers.”
“There have been suggestions of historical workplace culture issues within the Harbour Agency. The Harbour Agency takes workplace culture very seriously. We are proud to promote an inclusive, culturally diverse and safe environment which nurtures the skills of budding industry leaders as well as extending these values to our clients and the industry as a whole. In effect, any previous issues within the Harbour Agency have been assessed and dealt with over a period of time as is consistent with our values.”
“At no point during Mushroom’s external investigation were any current employees interviewed. Had these accounts been included, the findings may have told a different story.”
“The agency has remained fully operational over a very difficult period of time for the live music industry. We have stood unwavering, in our service to our employees, our client base and the wider community.”
“Moving forward, The Harbour Agency will continue to operate independently. Whilst the company is being restructured, it will not preclude or prohibit our dealings with the many great companies within the Mushroom Group.”
“As far as our artists and clients are concerned, it will be business as usual. The Harbour Agency is looking forward to a brighter 2022 and beyond.”
Mushroom Group retains its Melbourne-based booking agency, Premier Artists, which appears to share much of its roster with Harbour.
Melbourne-based Mushroom Group was established in 1972 by music industry entrepreneur Michael Gudinski. Following his death in March, aged 68, his son Matt Gudinski was announced as Mushroom Group’s chief executive in April.
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