THE closure of the Hepburn Spa Mineral Springs Bathhouse for up to 14 months has hit employees hard.
Five staff members have left within a month of the State Government's announcement that it would contribute $3 million for the bathhouse's redevelopment.
The assistant manager Chris Martin refused to sign the Australian Workplace Agreement because he didn't like the conditions offered.
He couldn't confirm whether it was similar to the other four employees but said it was likely.
Mr Martin said he would return to the University of Ballarat to complete his studies.
"It's pretty disappointing. Employees are uncertain about what's going to happen to their positions," Mr Martin said.
"We've been told by the director that they'll help employees find another job but I think it's just Centrelink, there's not a lot of specific help."
Mr Martin said that more staff were expected to resign before work started in October.
"There are between 70 and 80 employees. The majority are local but there are some from Melbourne and Maryborough."
Hepburn Spa spokesman Alex Zotos said pool and reception staff had been offered free training in massage at the Elly Lukas Beauty Therapy College to equip them with additional skills to increase their post-October employment
opportunities.
Mr Martin said that there was a possibility that Hepburn Spa operations could relocate to Golden Springs in Lone Pine Ave, but this was unconfirmed.
Hepburn Spa had held staff meetings to discuss contracts.
Mr Zotos declined to comment on the possibility of employee redundancies.
He said the community advisory committee was moving ahead with interest from universities.
Mineral Spa Hepburn Springs manager Ainsley Stewart said she would help employees find more work.
"I'm really open to help them find work and expand our staff," she said.
"I hope it (the redevelopment) doesn't stop people from coming to Daylesford.
Daylesford Day Spa manager Andrea Holmes said she was looking for more employees and would welcome people from Hepburn Spa.
Mayor Heather Mutimer said the council and State Government saw the redevelopment as of great benefit to the area.
"We are confident visitors will return following the temporary closure. The bathhouse has been an icon and major tourist attraction dating back to 1894, and in is need of redevelopment," she said.
"The council and the State Government believe the development will benefit the community and encourage more visitors to the facility and provide considerable employment."
Cr Mutimer said a number of local spa and therapy operators had indicated they would work to provide more alternative services while the bathhouse was redeveloped, but could not specify which ones.
The council also couldn't give an exact date to when the redevelopment would end.
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