Fashion business the Just Group has reacted to a recent article by The Australian which claimed that former Smiggle managing director John Cheston is on an extended 12 months of gardening leave.
In a statement received by Ragtrader, the Just Group confirmed that Cheston is not on gardening leave - a position where an employee leaves a job but is still paid as normal, and is required to stay away from work during a notice period.
Cheston’s employment at Smiggle was terminated on September 9 without notice due to “serious misconduct”, according to the Just Group. In June this year - three months before his surprise dismissal - it was revealed that Cheston had scored a new role at global jewellery business Lovisa, with an expected start date in June 2025.
According to the October 24 article by The Australian, and seen by Ragtrader on Friday morning, until Cheston can start his new role at Lovisa - “with the veteran retailer on extended 12 months gardening leave” - the jewellery business will continue to be managed by CEO Victor Herrero.
“The Just Group refers to incorrect reporting in The Australian newspaper today and notes that the employment of Mr John Cheston (former Managing Director – Smiggle) was terminated on 9 September 2024 without notice. He is not on ‘gardening leave’,” the statement read.
“The grounds for termination were both serious misconduct and a serious breach of his employment terms. On 23 September the Board of Premier Investments resolved to forfeit 113,550 performance shares issued to Mr Cheston pursuant to the Company’s performance rights plan.”
The forfeited shares held a value of around $3.8 million.
This recent news came as Lovisa chairman Brett Blundy shared his excitement over John Cheston's incoming CEO appointment despite Cheston's recent sacking from Smiggle.
In the company’s new FY24 annual report, Blundy called the upcoming leadership change a new era.
“With a wealth of retail experience and a proven track record of success, John is poised to take Lovisa to even greater heights,” Blundy wrote in the chairman’s address.
“Get ready for a new era of operational excellence, growth, innovation, and excitement under his leadership.”
Ragtrader has reached out to The Australian for comment.