It is interesting to compare the current state of City Tattersalls Club to how it was in 2004, when Tony Guilfoyle started as Secretary/Manager.
Membership has dropped from 29000 to 17000
If you had only one indicator to tell you how City Tatts has gone in recent years just look to the number of members. Membership has fallen steadily from 29000 in 2004 to 17000 today. This one statistic tells you everythimg you need to know. And it has happened at a time when the population living in the vicinity of the Club has increased. Other clubs, like the Bowlers Clun, have increased membership during the same period.
Loss of Member Amenities
It is no surprise that membership is falling. Every you look in the Club, the very things that brought members to the Club are being taken away, run badly or allowed to decline. City Tatts was known for having entertainment 3 or 4 nights a week - now there is none. It was known for having a variety of restaurants that members wanted - now it has overpriced restaurants that are usually empty. It used to have bars with style like the Cocktail Lounge or the Members Bar - instead management spent a fortune on the Omega Lounge which was a flop from day one.
City Tatts now owes $18 million to National Australia Bank
City Tatts owes $18 million to National Australia Bank. This is now a major constraint on everything the Club does - because the bank will not lend any more money. Even a relatively small project like the front entrance alteration was delayed because the Club didn't have the money, and couldn't borrow more. And, of course, work on 194 Pitt Street has come to a halt for the same reasons. But the biggest question of all is how can a club that makes a profit of $20 million on poker machines every year be in the position of owing $18 million to the bank.
Waste and Mismanagement are taking City Tattersalls Club down
Part of the explanation for the dire financial straits of the Club is the amount of money being squandered every year. While the Club is suffering, and members are ignored, some are doing very well out of City Tatts. This is just a small sample:
- A few favoured employees are paid staggering salaries, regardless of performance. The Secretary/Manager is paid almost $600,000. And his secretary, Jan Elks, is paid $125,000.
- Fees and payments to various consultamts amounted to $796,000 in 2010. The Club's solicitor alone received $185,000 !
- The Club spends $500,000 each year on radio advertising. Everyone who has looked at this knows it is a total waste as far as the Club is concerned. But it is a nice bonus for the radio station - and the agent who receives the commission.
- Overseas Travel cost $56,000 in 2010 - for 4 people to go to Singapore, Hong Kong and Macau !
Save City Tatts Committee