Australian Venue Co says the January 26 public holiday causes 'sadness' and 'hurt' for many patrons and staff.
The company owns more than 200 venues across Australia, including at least 90 in Queensland and another 60 in Victoria.
They include the Bungalow8, Cargo, Kingsley's Woolloomooloo, and Parkside Hotel in Sydney, as well as the Esplanade Hotel, Prince of Wales, Duke of Wellington and Garden State Hotel in Melbourne.
Also shunning celebrations will be the Claremont Hotel and Bassendean Hotels in Perth, the Regatta Hotel, Boundary Hotel, and the riverfront Fridays bar in Brisbane and well as the Parkside Hotel and the Colonist in Adelaide.
'Australia Day is a day that causes sadness for some members of our community, so we have decided not to specifically celebrate a day that causes hurt for some of our patrons and our team,' an Australia Venues Co spokesperson told the Herald Sun.
Indigenous activist Warren Mundine had some colourful advice for those wanting to celebrate on January 26.
'Don't bother about having a drink in their venues, p*** these bastards off,' he said after learning of the boycott.
Mr Mundine, who led the successful campaign against the Indigenous Voice to Parliament last year, said the real reason ' woke companies' refuse to celebrate Australia Day is ' they just hate the country'.
'They hate Australians, they hate Australia, and that's why they do these things,' he said.
Mr Mundine urged Aussie revellers to instead head to the beach, put some lamb and sausages on the barbecue or get takeaway from a venue 'that actually cares about this country - not a hater of Australians - and we'll have a great time'.
Wurundjeri elder Ian Hunter added: 'It is condescending, they think we are doing the best thing for Indigenous peoples.'
Former Victorian Premier Jeff Kennett branded the decision as 'extraordinary' and 'divisive'.
'They are totally out of touch with the community,' he said.
'If no one wants to participate in Australia Day celebrations at one of their venues that would be fine.
Controversy continues to swirl about celebrating the date when the First Fleet from England arrived to colonise Australia and Arthur Phillip raised the Union Jack to claim on Sydney Cove to claim it for the British Crown in 1788.
The resulting dispossession of of Indigenous people has led many to say the date is one of mourning and loss, which has been relabelled as 'Invasion Day'.
Invasion Day marches have grown to be attended by thousands across the nation.
Woolworths and Aldi earlier this year decided not to stock any Australia Day merchandise which led to a massive customer backlash.
