Staff chase gym bosses for pay

DEBBIE JAMIESON
Last updated 13:01 05/02/2014

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Gym instructors at Queenstown Gym have placed a Statutory Demand on the gym's owners after three months with no pay.

The gym is understood to have cancelled group classes although a restricted timetable with fewer classes was released this week.

Owners Sarah Kerby and Timothy O'Leary have until next week to met the demand before the group take the next step - an application to have the company wound up.

Sources says the couple have separated and the marital dispute is behind the issue.

Four or five instructors are understood to be behind the demand, some owed up to $1500.

Some others are also unpaid with smaller sums owed.

One instructor told the Mirror it was "just ridiculous".

There appeared to be some instructors getting preferential treatment while others remained unpaid.

"It's started getting really sticky."

Another involved said he tried to talk with the owners before making the application but had no response.

The gym is the only gym remaining in central Queenstown and is understood to have as many as 500 members.

Ms Kerby declined to comment and Mr O'Leary did not return calls.

Landlord Russell Hamilton said the issue was close to being resolved.

"I don't think public comment at this stage is going to help anything."

A Statutory Demand is a legal demand to have a debt paid. If the company hasn't paid the debt after 15 days, and it has not disputed the debt, then it is deemed unable to pay its debts, and those behind the demand can apply to the court for the company to be placed in liquidation.

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- The Mirror

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