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Rumour: GEOS Late in Paying Salaries

noticed an update to the GEOS Wikipedia page that was quickly removed:

Recent economic woes have lead Geos to be late paying the Japanese staff in August and September 2009. It is further reported that foreign teachers working at the adult schools were not paid on time in October 2009. Geos is currently asking clients to pay as much as 5 months in advance for the following year's lessons in a bid to raise the necessary funds to meet payroll obligations. This financial distress has led to many Japanese staff members to resign.

The edit in question can be found here.

There may be some truth to this. A thread in a kuchikomi message board wonders the same thing: were the staff late in getting paid? In response to the question, the first post was:

2009/09/22 19:21

はい!!!

そのとうりです!毎月月末のスタッフのお給料がでませんでした。
本部から自宅に電話があり、お金がないので今海外校に送金手続きをしてもらっているから1週間待ってくださいと・・・。
スタッフに払う金がない????
ありえない・・・。
すぐに上司にやめたいと言いました。
却下・・・・。
周りのMGは妊娠した、入院する、母ががん。。。とうそをついて辞めようと必死です。
今月でるのでしょうか・・・。お給料。
NOVAの次とは聞いてますが、いよいよ破産近し・・・・です。

Yes!!!!
Head office called me at home to say that they had no money and to wait a week until they can process wire transfers from overs schools.
They don't have any cash to pay staff????
That's unbelievable.
I immediately told my boss that I wanted to quit.
Got rejected...
Other managers I know are scrambling to quit, saying they're pregnant, have to be hospitalized, or their mother has cancer.
I wonder if we'll be paid this month?
I've heard GEOS would be next after NOVA. Looks like it's ready to go under.

Another commented:

2009/09/30 21:44

9/30日本日もお給料入っていませんでした!!!!!
2回目です。NOVAは4回目の社員お給料遅延で破綻。
いったいどうなるんでしょうか。
2ヶ月もお給料遅れるなんてまずいですね。

2009/09/30 21:44

It's 9/30 and I haven't been paid !!!!
This is the second time. NOVA went bust after pay was late for the 4th time.
What the hell is going on?
Getting paid late for 2 months running is not good.

Another poster says pay was late for instructors, too:

2009/09/30 22:31

今回は講師も遅れましたね。

今回はシステムエラーなのかミスなのか
、まあどっちでもいいですが、2カ月続いての事なので
「ホントかよ!?」って感じです。

2009/09/30 22:31

It happened to the instructors, too.

Whether it was a system error or a mistake, it's happened 2 months in a row. What's up with that?!

Another comment about a "system error:"

2009/09/30 23:26

今日も給料入ってませんでした。本部のシステムエラーだとメールがきていましたが、それが本当のことならあってはいけないミスですよね。かえって売り上げが悪く支払いが遅れますと言ってくれた方がましです。こんなことだからCSの案内するのに気が引けるっつうの。

2009/09/30 23:26

I haven't been paid this month. I got an email from head office saying that it was a system error, but if that's true, it's an inexcusable mistake. I'd rather hear from someone that sales are down and salaries will be late. I'm not up to doing CS [Commission sales] because of this.

Another commenter adds that they finally got paid:

2009/10/05 23:37

9月は1日遅れで入りました!
システムエラーだそうです。
先生が辞める!!!と言い出したのでなだめるのに大変でした><!!

2009/10/05 23:37

September's pay was a day late but I got it!
Apparently it was a system error.
Teachers have started saying that they'll quit and I've had a tough time trying to smooth things over!!

Finally, a student chimed in to say:

2009/09/26 19:20

私は、ジオスに通っている生徒です。
契約更新をするかしないか・・・迷っています。

>更新時に「ジオスはつぶれませんよね」
>と言われて「今のところ大丈夫ですよ」としか
>言えませんでした。

私も、同じ質問をしたところ、
「分からないですからね。」と言われ、
半年契約(?)を勧められました。

先生は凄くいい人で、続けたい気持ちはあるのですが、
NOVAのようにお金だけ払って続けられなくなったらと思うと
怖いです。

年内にも経営破たんをしてしまうのでしょうか。

※ジオスのHPで経営状況を確認したかったのですが、
【売上高:164億円('06.12月期)】
となっており、通常'08(2009年更新)の売上高が
記載されるべきなのに、過去のものが記載されており、
確認ができませんでした。

2009/09/26 19:20

I'm currently a student at GEOS. I'm thinking about renewing but am having second thoughts

>They ask during renewals, "GEOS isn't going to go bankrupt, right?," but all I could say was," Right now everything is fine."

When I asked the same question, they told me they didn't know and tried to sell me a 6-month contract (?).

The teachers are really good people and I want to continue, but I'm scared to think that things might end up like NOVA where you pay and are then unable to take lessons.

I wonder if they'll go bankrupt by the end of the year?

*I looked up GEOS's finances on their website and found their sales were 16.4 billion yen (for the period ending Dec. '06) but couldn't find any new numbers even though sales figures for FY'08 should be up there.

These are anonymous comments and I have no way of knowing how much truth there is to what's been said. If the "system error" explanation sounds familiar, it's because NOVA used the same excuse to explain why it had not paid their staff.

Can anybody flesh this out some more? Has pay been late for the past two months? Is this just a one-off event or a sign of more serious trouble to come?

This is how the end came for NOVA. First it was the staff, and then it was the instructors not getting paid. If the rumour is true and the staff has been late in getting paid, it's time to start thinking about Plan B. You don't want to repeat the fisaco of ex-NOVA instructors getting re-hired. The moment you don't get paid, get the hell out as fast as you can. You certainly don't want to end up teaching in a park for food.

UPDATE 02/21: Comments are closed for this post. Continue the discussion here.

Japan: 

Comments

Im not sure the number of GEOS schools operating in Japan or how many schools have been closed....but I do remember last summer (2009)...my area manager (just before before he quit) qouted something like 180 GEOS schools in Japan. I do know just 3 months ago when I got my work visa renewed by GEOS the renewal paperwork stated that GEOS employed 800 foreign workers and 2,400 j-staff.....I dont if the foreign workers included overseas instructors as well. I knew of 5 schools that closed in the last 7 months of 2009, but that was in my region...not sure about anywhere else in Japan.

Just because you have a CELTA ticket whacko, does not mean you are not wasting your time, as much as any old idiot taking a ride on the stupid eikaiwa train is. When GEOS goes under, CELTA ticket or no CELTA ticket, people back in your home country, are going to be gob-smacked that you could have taken anything with regards to teaching English in Japan even the slightest bit seriously.

Dan, whoever you are, apart from taking small-minded shots at random posters on the Internet, might I advise that you never, ever become a careers guidance counsellor, a boss, or a clairvoyant.

The overseas schools are not a cash drain on Japan. They used to send lots of money to Japan but most of them are now refusing to send any more.

3 or 4 years ago there were about 500 schools in Japan. Now down to 180? Wow.

Yes, I can confirm GEOS claimed over 500 schools were operating in Japan within the past couple of years ... but if they've since closed in excess of 60% of these locations, then surely that is BIG NEWS & should be reported by the media?

Also ... if the overseas schools don't contribute financially to the parent company, then what is the point of operating them? They're CEO vanity outfits, I suppose.

I have been wondering about it. What is the importance of this site? Paul's Deli, during once of the many episodes where he made a total jack ass out of himself, once claimed it actually saved it's life. Some, like Thorn In Nova's Vagina, use it for entertainments sake, as a medium to polk fun at and bug idiots who think a job in eikaiwa is anything more than flipping burgers at McDonalds. Others, like The Eikaiwa Ripper, use it I think simply because they are lonely and lost in Japan. It thus becomes a place to interact. But really, they are just all small observations, that really on scratch on the surface. The real importance of this site? I think the real and main importance of this site is to give Shawn and his crew a feeling of self-importance and meaning, since they know full well, gaijin life in Japan is a ridiculuous half life and farce.

KARA

what.........why would ANYONE waste three minutes writing a post like that one??? I dunno.....

actual exchange im having with GEOS.. its no wonder they are going down..(names have been changed).

Subject: [GaijinPot Jobs] An Employer wants to contact you: GEOS hiring sessions in January
I am pleased to invite you to GEOS Nerima school in Tokyo for an interview with GEOS Japan....blah blah blah....
Please reply to the following email address:

From: Canadajin
To: GEOS- Stooge
To Whom It May Concern,
Thank you sincerely for your invitation to an interview. Unfortunately, those dates are impossible for me, as I am currently working part time.
I am not able to re-locate out side of Kansai, so, I would need to be able to work in this area. Is there any possibility of an interview here either at one of your Osaka branches, or via teleconferencing?
Looking forward to your reply,
Sincerely,
Canadajin

From:
To: Canadajin
Canadajin,
Most applicants that are currently employed take holidays in order to attend the hiring session. Additionally, I don’t have any plans to visit Osaka for hiring in the near future and the nature of our hiring process makes a telephone or video conference an impossibility. Please let me know if your situation changes.
Thanks.
Geos Stooge
GEOS Teaching Dept.

From: Canadajin
To: Geos Stooge

Stooge,
I suppose most applicants have money coming out of their buttocks for a holiday and a trip to Tokyo then.
I envy them.
Please let me know if your company pulls its head out of it's arse.
Thanks.

Canadajin

...unbelieveable...but it felt SOOO good to burn that bridge...like..who do they expect to just come running to their beck and call?...

Q ..who do they expect to just come running to their beck and call?...

A:
...someone who REALLY wants a job.

...someone who already has a job at a school that treats them far worse than they would be treated at GEOS.

...someone who has you for a co-worker....

Someone who actually WANTS a job with GEOS? It's pretty clear that you never intended to take a position with them, but instead just wanted to feel better about yourself by shooting down what appears to be a perfectly polite email. No one put a gun to your head and forced you to apply. And if you were that desperate to do so in the first place, what does that say about you?

Can't say that I blame them for not doing telephone or video conference interviews either as it certainly isn't the best way to hire teachers.

Good luck though, with a winning personality like yours you are sure to find employment in no time at all.

Kara, you're projecting. Sorry things haven't worked out for you in Japan. You must not have read anything Chris, myself, or others have written here. You seem to have problems with many of the frequent commenters here. Get over it, step away from your computer, and take a deep breath or have a drink. The importance of this site is neither here nor there.

Shawn

So you're not just a careers guidance counsellor and a clairvoyant, you're a psychologist as well.

I take it life's been hard on you and you're having difficulty coping. I'll give you some careers guidance here, how about occupying more of your time with something constructive. Learn something or get a hobby, something purposeful to do for at least a few hours each day. Learn a language, do a marathon, join a sports team. Learn a musical instrument. Do a course in something. It won't hurt. You might even enjoy it.

All the best.

The Eikaiwa Careers Guidance Counsellor.

After having been a long term employee with GEOS and reading some amusing emails, I thought it time to add a summation of the current situation at GEOS and to those that are employed with GEOS, advice.... leave and save yourselfthe final pay.

This company is slowly dying and will not have too much longer to go before bankruptcy takes its toll.

as if YOUD come running on YOUR dime to Tokyo for an overnight for the mere POSSIBILITY of a job..youd be TRULY a pathetic lap dog then wouldnt you?..

his reply was condescending and arrogant...typical white man power trip in Asia thing...and if youre too stupid to see it for what it was..then by all means..give them a call and get on that Shinkansen..loser..only 100 bucks each way.

at least Nova had their interviews in Sydney even though they were based in Brisbane and didnt expect you to haul your ass all the way up there. AS if GEOS doesnt have branch offices or schools in Osaka..as IF they are stuck in 1975 and cant interview anyone online..As if they only have one fucking guy ..and One fucking place to do all their hiring...

AS IF im wasting my time writing to you clones.

Look around the typical staffroom and see all the inexperienced teachers and look into the manager's room and see the inexperience there. Interesting times in the company.

CanadaJin, I too think you are off base here. His reply was NOT condescending nor arrogant. It is normal to go to a company's office or HQ to interview for a job with them. It is not an eikaiwa thing, nor a Japan thing, nor a white person in Japan thing. You as the applicant are responsible for going to where ever the interview is if you want to interview for that job. That is normal all around the world.

Your response was very rude and immature. Calling someone else stupid for not thinking your rudeness was cool (or whatever positive response you expected) again makes you appear to be a rather immature person.

well...Im gonna sit here and hold my breath until you see it my way.

ps. stick a pipe in your ass.

It is amazing I know that schools have and do hand out those stupid tissues to everyone and their dog. But these past few days the GEOS staff are outside the main Nagoya station handing out snot rags at 7:00 in the morning, yes 7. Even other wait til later in the day. Just assume that they are getting real desperate.

I agree that comapanys have a right to interview in the manner that they see fit. Just as the would be employee has the right not to bother, if it doesn't suit them. Some companys do take the piss though. I heard that at one point the Nova office in Sydney was actually charging people to be interviewed.

However to me, the reply smacked of arrogance. "Most applicants would take the day off" Well, no, I dont think thats true. I cant afford to lose a day of work in this economy..let alone 2..so his reply made me angry...and MAYBE.. I admit, I probably over-reacted..a LITTLE...

Im in need of my visa to be renewed shortly, so I went to feel them out, knowing they are likely doomed, I figured they could get me the paper then I'd jump ship. Maybe its just me, but does it SEEM normal to expect people to take 2 days off and go up there at your expense for a FIRST interview? Am I the only one who thinks thats too much to ask?
And am I the only one who thinks that that its unreasonable for this big company to not have even a single representative in Kansai to hold interviews?

Ultimately people like Thorn are right, being here is a joke. If I was home, I could get a factory gig, or wait tables for a few weeks/months until I could be back in my field.

We are all living off of the scraps of the American occupation. No Pearl Harbor, No Nova. Soon, the influence of this ancient history will be at an end. And we can all go home...

And start learning Chinese.

I'm feeling a bit worried and anxious at Thorn's obvious ansence...don't tell us he's gone and got a teaching job at GEOS and is too busy to post on LJ.

The Principal of GEOS Perth and GEOS Oceania Manager (one and the same) has also jumped ship. He was there forever but is too smart to stay

Here's the buzz. Some Australian GEOS sell offs may be expected first half 2010.

Managers and Head Office staff are being paid late again this month. Payday was supposed to be Jan 29th. They will not be paid until Feb 1st.
I have a PDF in Japanese if anyone wants it.

Managers and Head Office staff? Good! Those rotten dirt bags deserve it. HAHAHAHAHAHA!!! SEPPUKU Motha F*ckas!!!

Helloooo PDF! I'd like to have a look.

Shawn

You're welcome to it. Do you have an email address I can send it to?

Doh! Sure, send it to letsjapan at gmail.

Shawn

Ok. Give me a minute. I'm using iPhone :)

Geos in Australia declares bankruptcy.

Get out as soon as possible.

Find another job.

It's a tsunami and you can't avoid it.

No one deserves to go through this.

Australian schools are compelled by Law to have their accounts audited by external auditors. If the auditors have given a 'thumbs up' as to the financial viability as to the future of the operation, who are the Managers to question the auditors, despite what their personal beliefs may be? Who are the Managers to question releases by Head Office that all is fine, despite what they may think? School Managers have no access to the full financial situation of the Australian operations. This is handled by their office in Brisbane. They are privy to the same websites and rumours as all staff are and they too rely on the information they are presented with. I guess so many Managers actually bailed in recent months becuase they were perhaps struggling with their own feelings and what they could or could not say.

The Government bodies rely on the audit opions too unless they have reason to believe otherwise,,,but it is certainly not the Manager who presents the financial inofrmation or the opinion. They rely on it but may have their own opinions.

@ Ex M

There is absolutely no legal requirement for schools to have their accounts audited, and there is no government body who has access to school accounts. Why would you post if you have absolutely no idea what you're talking about?

can we not close this GEOS conversation and call it quits!!!

GEOS Australia has been voluntarily liquidated!!!! hello!!! is this not clear?

It is OVER. OVER, OVER OVER

END OF F*CKN STORY

just watch the empire collapse.......hahahahhaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa

umm... how do you turn the sound on for this site?

I can't hear anything.

GEOS Japan took money from the successful schools in Australia to pay the staff wages in Japan. They had no right to take that money and the Australian schools refused to send it, but being the parent company GEOS Japan took the money until there was none left. Then when they depleted that, they took the money that was held in trust for the students on student visas. Any students issued with a student visa must pay for their course to get the student visa. This money must be kept in a trust so that the student can be refunded etc should a problem arise. GEOS Japan emptied the student trust accounts of the most successful schools (Perth & Melbourne). GEOS Japan took what was not theirs and did so at the cost of the international students studying at their colleges in Australia. Perth had over 500 students and Melbourne over 600.
A number of sites have interesting statements ranging from ignorant people who think a job teaching ESL in Japan qualifies them to call themselves "sensei" stating that it is stupid to run an eikaiwa school in Australia. The GEOS schools in Australia paid the salaries of the Japanese and foreign GEOS Japan staff. The only reason they are closed is the misappropriation of funds mananged by the directors. GEOS Australia were not "eikaiwa" schools, but taught GE, Cambridge certificate courses and Academic English courses for a range of students from all over the work. Japanese students represented an average of 8-10% of the student bodies at each school. Other, more disgusting, statements come from GEOS Japan themselves - they are now claiming there is no connection between GEOS Japan and GEOS Australia, yet they took the funds of students they had no right to. They have put over 2000 International students and close to 300 staff out on the street. Staff won't be paid and students are in a foreign country without an educational provider. Many have paid and are coming with no school to come to and others have paid and not yet received their student visas so may have lost their money. Many students enrol for over 40 weeks at one school and the costs of course range from $230 to $320 per week.
GEOS JAPAN should be ASHAMED of itself. It has stolen student money to save face in Japan and now claims that it has no relationship to the GEOS Australia schools. GEOS Japan is solely responsible for the closing of the GEOS Australia schools and the repercussions that has on students, staff and clients. They need to be made accountable!

Under the ESPRA Act (Western Australia), schools have to send their audited accounts to the Department of Education Services (the State's Accreditation Authority) by the 30th Sept. DES in turn forwards the accounts to their own audiotrs.

Every GEOS Australian school has their accounts audited by external auditors and in Perth they are sent to DES under ESPRA.

I should have been more specific in stating that in Western Australia schoools are also governed by the ESPRA Act but I will state categorically that all the GEOS schools have their accounts audited. I would suppose (and I do not know), but as we are foreign owned this may be the reason why all schools are compelled to have an audit.

I totally agree with You GEOS Australia about your post. GEOS Japan is run by a criminal and GEOS Japan`s behavior and business ethics is virtually unheard of in modern western countires, but its quite the norm in Japan where companies can steal from their workers and rip-off customers with impunity. It makes me sick to hear about what happened to GEOS Australia.

People we need to start sending Mail and coplaints to the media here in Japan.
start sending to all the news channels and Newspapers.
I work at a Geos school in Japan and one student handed over 400.000 yen today, I felt sick but she is doing that because she doesnt know.

Untill the Japanese media knows Japanese students will get fooled Kusunoki will be laughing all the way to the bank.

I feel for you in Australia.

As the person who first updated the wiki about short comings on wages I urge you to find proof and do the same about GEOS taking the money from Australia to keep Japan operations afloat. People read wikipedia. It is important.

Not to worry there Spaceporter. All management at GEOS Australia has email and bank account evidence of funds being trasnferred from the Australian bank accounts to Japan to keep them afloat. Ernst and Young will soon have this at hand.

I do not think I will feel very sorry for the Japanese students who lose their money when Geos goes down. Since I have been in Japan, I have lost track of how many English schools I have seen fail without warning and taking the student's money with them. Yet, just a couple of years after Nova, it is happening again.

Sure, the Japanese media is not giving it near the attention they should, but those students should be using just a tiny bit of common sense. It if was my money I was forking over, I certainly would take the time to do an internet search on Geos.

A fool and his money are soon parted.

Personally, I wouldn't buy from GEOS, but I can see why some would. I always tell people to book with government owned institutions when they go for overseas tuition, because they are safer and the quality is often better as well. However, if you are short of money, the discount is big enough and your agent says that everything is fine, then why not? Geos has been around a lot. They aren't going to crash this year, are they? Come on? That's the thinking, and I understand it in the case of people who actually have a lot of trouble scraping the money together to go at all. Bad luck, really.

Please post this PDF file, link it to the wiki and update that there was late pay in January again. This is necessary.

@ "not to worry there" anonymous.... that is good to have this e-mail on hand but lets try to get it to the public. There are countless students renewing who should have this information ASAP so they know their options.

On a less than high ground... who wants to gamble on which country is next?
I know that the banking laws in Korea, USA and Canada are all quite strong so robbing from these subsidiaries would be more difficult so I think the next closure will be in.... RUSSIA!

wow! sounds JUST like a manager I had. especially the part about NEVER letting you use the computer. Wouldnt be shocked if it was the same witch of a manager I had haha. wow glad that nightmare is over! You got me curious if its the same lady :)

Did you work in Shizuoka?? The school manager highly resricted NEts from using the computer, as we rarely saw the CS target or email from the area leaders...we were always keep in the dark....thats the GEOS way.

Not shizuoka but as managers transfer all the time, still could be a possibility. Then again many managers at geos were probably just like the ones we experienced. Don't want to name names but she had a very husky voice and basically wouldnt let me ask her anything. She was a nightmare but I thank God everyday I don't have to deal with her. She did a whole laundry list of things to make my job harder. I hope geos goes down, they dont deserve to be a business, ripping off students, treating staff like crap, etc etc. Amazes me that any one would defend them, and in turn encourage the abuse that goes on at so many levels. I just feel for the students and teachers that lose money and jobs but ultimately in the long run they are far better off anyways.

Well... Im a GEOS Teacher, and I'm (not so aggressively, I'll admit it) looking for a job.
Last month 3 students cancelled. That was before the GEOS Australia thing.
having said that...
I've never had any problems with pay, its always been on time...
I like my students, the Japanese English teacher is even nice sometimes!

But it's the work that's killing me... I've had no manager for a few months now; however I'm expected to meet the same sales goals as before... Was the manager useless then?
I can never practice my Japanese (with students or staff) and the Japanese teacher hasn't even given me one of my 24 free Japanese lessons even though I kept on bringing up the issue, telling her to choose a time in her schedule... Yes, because she has 17 classes a week, very hard as you can imagine...
I have well over 50 students, do around 24-25 hours of teaching a week (which means +30 classes or 40/45/50/60 minutes)... Just my students bring in enough money to pay more than two of my salaries, but of course I'm worried... Between my wage, the Japanese teachers, the rent, and god knows how much GEOS expects to make every month, I'm not sure its enough for them.

I'm thinking of changing over to ALT, better hours (getting home at 23:30 isn't the best thing for your social or family life...), better holidays... Even if i get paid a bit less I'm willing to trade that for weekends off and being able to have dinner with my friends.
The only thing holding me back is... The Schools. Aren't Japanese Schools Hell? I'm not a huge fan of kids (granted I teach 25 of them a week, from 4 to 12 years old) but I'm afraid it will be darn weird having hear screaming kids 8 hours a day. Any ALT experiences?
I even found a preschool that was a bike ride from my house that was looking... But it's the prospect of 100% kids that scares the sh*t out of me.
I'm just afraid of trading down... I've been reading up on it, people tend to prefer the ALT route, but... And I hate to say it, I'm not a teacher because I love kids, or because I would love to see Japan become more international, I'm teaching because its honest money and until I have decent Japanese it will be difficult to get a job in my field.
I take my job very seriously, I work my *ss off, spending more than 9 f*cking hours at the school everyday (and not on facebook!), I prepare my classes, I spend time talking to my students, etc, but... I'm just doing this because I don't have a huge savings account to live off, and I sure as hell aren't going to live at the expense of my boyfriend.

So now you can all come and unleash the flames of hell and tell me what an evil person I am and how I put all foreigners to shame... But if you could give some advice at the same time, that would be great :P

Thanks.

R.

They don't pay you enough for that, teacher and manager, you should work 29. 5 hours. You are been used.
I am also a teacher but there is a manager she is a bitch, won't answer questions. The jet is also a bitch. Speaks good English but doesn't like gaijin.
I will finish in about 4 weeks if it lasts that long.
No more eikaiwa for me.

Dear GEOS teacher, I certianly understand where you are coming from. I was a GEOS teacher at small school with a JET and a manager until last November. The JET at my school was a hardcore racist(she to refused to give any of the required japanese lessons, even though she taught 12 classes a week) and the manager was an icompetent bafoon.
I was teaching 35 classes a week for 50 students!! I had 23 man-to-man students who paid for group classes, but they didnt want to be in group classes...they wanted private lessons at the group price and the manager allowed it....I was worked to death. I Loved the students and had only 6 students under the age of 15....I had a great time with the students...but dealing with the head office, the rasict JET, and the retarded female manager just left me totally exhausted. I quit after 7 months.

I was aggressively searching for new work after the first 6 weeks I was at GEOS...it took me 6 weeks to realize GEOS was a dysfunctional company with MAJOR problems and I didnt want to stay in the company any longer. It took me almost 6 months to land a new job in Tokyo and I walked off the job with zero notice and no forwarding information...I just vanished...before I walked off I destroyed critical documents, altered the student attendence sheets, and threw away all the counseling forms and whatever else I could to wreak havoc for the manager....it was payback for all the lies, bullshit, rascist comments, fucking with my time sheet and for the constant and daily harrassment I received from the JET and the school manager. I was the 4th teacher to quit at that school in 15 months under this retarded J-manager and racist JET...they made the native teachers lives hell.

If I were you...I would be very very aggressive in finding a new job. I went down with old-Nova in 2007 and I couldnt find a job anywhere...it took me almost 6 months to find another job after the NOVA debacle. Dont wait. Take whatever job you can get and dont be soo picky right now. Im MUCH HAPPIER that I left GEOS...it was like a GIANT stone rolled off my back.
Save your own ass first.

The situation for the GEOS international schools is actually very serious. The key point is that the same agents who sent to Australia send to NZ, US, UK etc GEOS's biggest selling point was low price and high agent commission. And to keep the large schools pumping, GEOS led the way in discounting. This means that profit margins are quite low and it does not take much of a downturn to turn cashflow negative. As Mr K published the free lesson remedy for Australian schools only in Japanese, you get the impression his plan is to pull out of most overseas sites and fall back to Japan. (Because he basically told Brazilians, Swiss and Koreans to get knotted) This also sends a powerful signal to agents - screw you and your students basically. As the Japanese media have not picked up the story really, it falls to Japanese blog sites. Has there been an increase in concerned postings since Australia's crash? The ex-Aussie Japanese and non Japanese staff are pretty pissed off and are likely to continue making cyber-postings. Can all the GEOS Japan teachers in this thread give insight into how many GEOS customers are reading the blogs? Has there been an increase of concern since beginning of February? Or is it simply business as usual?

Japanese, watch the news and read newspapers? First I have ever heard of that kind of behaviour in Japan.

It's business as usual here but I thing Geos will find it hard to get teachers at the moment. Many are leaving but I think the well is a bit dry. Students haven't said anything to me. Any way I am counting the days untill my plan b kicks in and I advice other Geos Teachers to do the same.

Plenty of chatter about the Oz shut-down on Japan/Korea forums. I've hat heaps of e-mail/facebook stuff from finished GEOS students living in Japan/Korea/Taiwan enquiring if I (ex-GEOS teacher) was OK following the shut-down. The buzz is around.

Very few firms make a general announcement that they are having a world of troubles. The news is out in Australia, and the government agent there has had to backstop (pay up for) some of the GEOS promises.

As is pointed out time and again on this board, nothing is "fine" with Eikaiwa, because the wheels have been coming off it since Nova. The Japanese government just used the "industry" as a holding pen for working holiday visa holders. Now, they need to come up with another scheme. But in the meantime, they will let the old scheme run here---they have enough on their plates already.

NZ GEOS staff have been told that GEOS NZ is safer because the fee protection is stronger than Australia. Many (most) are prepared to believe this. This has come from local managers, as there has been a 'lack of communication' from Japan.

The weakness of this blog is that few people supply verifiable information. Hey Fangooly, can you post the links so it can be verified?

I guess too that GEOS NZ staff know about the $NZ1 million+ liability detailed in the GEOS accounts and payable immediately upon demand to the GEOS home company. Hey Kiwis, remember Australia.

(@7.15, for yr verification, see http://www.companies.govt.nz/cms)

Yes, but this money cannot be removed from trust accounts.

What you're saying is simply not true, GEOS NZ was under the control of GMS in Australia, so you don't have the power you might think and NZ Geos schools still owe Australian schools money, have a back up plan, Japan will be after your money too as well as the administators in Oz.

You are quite right about the trust accounts. Walker Wayland would be unlikely to authorise such a transfer. But, on a good day you can probably pull close to $NZ250k out of the cash at hand accounts and the foreign transfer areas of the GEOS NZ accounts. That's about a quarter of the liability to the home company, not small bikkies, and would scupper GEOS NZ. This is all pure summise of course. But it's how the corporates work in times of stress.
And about GMS and final control of GEOS NZ, final control lies firmly in the hands of the sole Director, Mr K.

Can the legal adminstrators in Aus get their hands on anything in NZ. THe two countries have close economic relations but both have limited liability company structures. If any sort of crosss Tasman debt is enforceable, then it is curtains for GEOS NZ. But I think this is unlikely. Anyone in the know?

Check out this company....really makes you wonder who you are working for!

I mean, really! Who names their company DONGEL!!!
This is no accident, somebody realized how ridiculous this rat race is so they decided to name their company this on purpose, just to hear various young children and BOE officials say DONGEL on a regular basis...

https://jobs.gaijinpot.com/index/view/lang/en/orderby/latest/region/11/j...

http://www.dongel-teach-japan.com/companyprofile.html

The eikaiwa industry can best be described as a - dung hill.

-Luke

WABusiness have carried an article with some information about government activity pre the Perth GEOS collapse. Article has been edited to elimate "old stuff". Note the time frames. It's all beginning to come out of the woodwork.

Local industry bears burden of GEOS fall
News: 11-February-10 by Mark Pownall WA BUSINESSNEWS

LOCAL administrators of English language schools have been working overtime to accommodate almost 500 foreign students left stranded by the collapse of Japanese-owned Australian chain GEOS a fortnight ago……..

Insolvency experts from Ernst & Young were appointed to the business on January 29 after concerns raised by two months of investigation by state and then federal authorities prompted the Australian directors to seek voluntary administration.

Western Australian education authorities launched a thorough investigation of St Marks after analysis of its annual accounts for the year ending June 30.

It is understood that WA’s Department of Education Services was concerned by the school’s financial situation, including evidence of what appeared to be a high level of subsidisation out of Perth to other colleges in the group. It then turned to Commonwealth authorities, which conducted a national review in December…………..

Under the industry’s protection scheme about 12 colleges in WA have agreed to take on the education commitments of St Marks, which extends to students who have paid for tuition and are expected to arrive as late as May.

Some in the industry have raised concerns about having to provide free tuition, as well as the administrative burden of helping students reapply for visas, for a rival.

Market speculation has focused on GEOS’s fee and commission structure, claiming it discounted student education and paid agents handsomely.

However, former GEOS regional marketing coordinator Gary Maserow dismissed this view, stating that prices were based on the market and that the group enjoyed economies of scale.

Mr Maserow – who quit GEOS in October and is seeking to start a new school, Q English, with former colleague Peter Millington – claimed the blame for the collapse lay with the Japanese parent, which left the Australian business cash strapped.

What this article ommitted was:

1. Under the WA ESPRA Act all Perth schools must submit their annual audited accounts to the DES who in turn forward it to their auditors. As GEOS accounts are consolidated, the audited accounts are submitted to DES on 31 October. The auditors did not qualify the accounts and did not state that the College was not financially viable. The College did make a profit in 08/09....a modest profit, but nevertheless a profit. To say that a 'thorough invetstigation was launched' is using emotive language and it was simply a quotidian look into financial viability.
2. This was GEOS Perth's re-accreditation year as accreditation is received for a period of 3 years
3. DES's auditors picked up low liquidity and required proof of sustained financial viability.
4. This was attended to by the Directors and the accountants who must have satisfied DES as to the financial viability as Perth was reaccredited with a further assessment to be undertaken at the end of June 2010

Below is an email which was sent by the Regional Coordinator on 24th December 2009
Dear all,
Great news! I want to share this with everyone.
We have just been notified from Department of Education in WA that GEOS Perth has been re-accredited until 30 June 2010. Not for 12 months as per the usual - but we knew from the beginning that we would only get 6 months (we need to present our figures again in June and get another 6 months).

Thank you everyone for hanging in. I am excited for GEOS Perth and its staff - such an important school for our Region.
5. Even with low liquidity as has been previously discussed, Perth school with its number of students could have traded its way out of this situation quite easily (as with Melbourne, Adelaide, Gold Coast and Cairns).
6. Once again, the Directors need to explain why, if they satisfied DES as to the financial viability of Perth
and obtained reaccreditation, they placed Perth into VA as well. They also need to expalin why they did not afford certain Colleges the opportuntiy to trade out of the situation of low liquidity and why current Managers were not briefed about what they were intending to do.
7 As has been stated in an earlier response, the low turnout of creditors at the Perth first meeting, highlights the fact that Perth was not in a situation that it could not have traded out of. Quite easily in fact, as could have Melbourne, Gold Coast, Cairns and Adelaide.
8. Once again the colleges were not closed by State or Federal authorities, but by the Directors calling in E&Y....and only they can explain.

The same old mantra...."It wasn't me that did it, sir, it was those naughty Directors." Doesn't wash. Who was authorising bank transfers? Great news is that it ain't the ESPRA stuff that principal actors should be losing sleep about but the provisions of the Companies Act. As 8.24 said, "It's all beginning to come out of the woodwork."

It was the directors of GEOS Oceania that authorized the withdrawal and transfer of all the money, no principal had any direct control over their respective bank accounts, it was a centralized system under the control of the accounting firm GMS of which the directors of GEOS were also the directors. It was a dodgy system run by dodgy directors, why else would 9 managers/principals resign, to blame them is an ignorant view. If I can repeat it was the directors of GMS and GEOS that authorized the transfers and the responsibility starts and ends with them, after all it was their company.

Yup, it was the directors fault response to

as one of the former principals of a GEOS school and clearly you were not, every principal has an email trail of proof, all TRANSFERS you refer to were made by GMS and not the principals as transfers to japan and Australia holdings were done by GMS so there is no need for you to comment on this blog with something you know nothing about.

not sure if anyone read this earlier in the month.....but.....

"According to the company's annual financial statement, the New Zealand branch of GEOS lost almost $900,000 in 2008 after making a profit of nearly $1.2 million in 2007. "

would be interesting to know where that $2m went

http://www.stuff.co.nz/dominion-post/national/3286808/Uncertainty-over-l...

So, you agree with me then, what are you talking about?, you agree with everthing I said and then said I don't know what I'm talking about, Hmmm confused. I think we're saying the same thing, or I simply have no idea what you're talking about.

Mr K was not alone in claiming Australia was a totally separate business (implying) that it had no relationships with other GEOS schools. THese two put a signed statement on geos.net repeating the fabrication. It reflects very badly on them

For GEOS Europe: Wendy Teraoka, Regional Director, .
For GEOS North America: Uri Carnat, Regional Director, .

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