Corporate Travel Management’s financial troubles have deepened after the TMC this week admitted underpaying staff in Australia and New Zealand by some AU$2.39 million (€1.46 million).
According to a report by BTN stablemate The Beat (subscription required), the embattled travel management company said it had identified a payroll issue “relating to the interpretation and application of certain provisions” covering the period from 2019 to 2026.
The admission comes just weeks after the Australia-based TMC delayed the publication of its FY25 and 1HFY26 financial statements after previously acknowledging it had overcharged UK customers, including the UK government, by £128 million.
CTM also confirmed last month that its accounting problems had affected clients in Australia and New Zealand dating back to 2019. The TMC said this would reduce its revenue by between AU$10 million and AU$15 million for the 2024 financial year.
The TMC on Friday (17 July) also disclosed the resignation of company secretary and group chief legal officer Shelley Sorrenson, who will depart on 14 August. A replacement has not been named.
This follows the departure of company founder and managing director Jamie Pherous, who resigned in February, and former CTM UK CEO Michael Healy, who was sacked in December for a “breach of contractual obligations”.