Pay and party delayed in Palmer stoush

Staff payments have been delayed as the legal stoush between resort owner Clive Palmer and Hyatt continues.

Staff at the Sunshine Coast resort had been alerted by human resources yesterday that their pay had not been processed because of an “administrative issue”.

However, a spokesman for Hyatt said after orders were “successfully obtained” from the Supreme Court this morning, staff pay could now be processed.

“Earlier, the voluntary administrators of the owning companies, whose appointment was caused by interests associated with Mr Clive Palmer, had refused to provide consent for these payments,” the spokesman said.

“The payment has already been made to the staff and will be processed through the banking system in the normal way.”

The companies which own the resort and fund a bank account that Hyatt, in its capacity as agents for the resort, use to pay staff, were placed into voluntary administration by their owner Clive Palmer last week.

The move came after Mr Palmer terminated the Hyatt management agreement late last month, citing, among other reasons, poor business performance.

Hyatt won a temporary injunction on the decision to remain as agents of the luxury resort; last week, that injunction was extended until the matter goes to trial.

It is understood from evidence given in court last week, that the resort's operation had been “assisted by a third party” most recently Clive Palmer, which had been keeping the companies solvent.

The pay issue may have been resolved by the courts, but a staff 'rewind' party has also been postponed by management.