From:
Posted: Monday, November 12, 2012
Managers and frontline workers at the two casinos owned by Trump Entertainment Resorts Inc. are feeling the brunt of some cost-cutting measures in the aftermath of Hurricane Sandy.
Salaried employees must take one week of unpaid furlough, while hourly workers will not be allowed to use their vacation time to compensate them for lost time during Atlantic City’s five-day hurricane shutdown, the company says.
Bob Griffin, Trump Entertainment’s chief executive officer, told employees in a memo dated Nov. 5 that the loss of casino revenue during the shutdown “will linger for many months and has complicated our already challenging financial situation.”
Trump Entertainment originally planned to let workers use their vacation time in place of days lost to the shutdown. However, Griffin said the company has reversed that decision as it looks to save money. He also said salaried employees must take a week off without pay by Dec. 2.
“We recognize the hardship you and your family are already enduring, however, in order to keep the properties open through the upcoming weeks, our only alternative is to implement a more aggressive savings plan,” Griffin told employees in the memo.
Griffin noted that the casino industry has been hurt by hurricane damage in Atlantic City’s feeder markets. Atlantic City’s core customer base comes from New York and North Jersey, parts of which were slammed by the Oct. 29 storm.
Trump Entertainment spokesman Brian Cahill did not immediately return messages Monday seeking comment about the employee austerity measures.
Trump Entertainment is the parent company of Trump Taj Mahal Casino Resort and Trump Plaza Hotel and Casino. Both Trump casinos suffered a more than 30 percent plunge in their October gambling revenue during the hurricane-shortened month. Trump Plaza had just $6.6 million in total revenue from its slot machines and table games, the lowest among Atlantic City’s 12 casino hotels.
Salaried employees must take one week of unpaid furlough, while hourly workers will not be allowed to use their vacation time to compensate them for lost time during Atlantic City’s five-day hurricane shutdown, the company says.
Bob Griffin, Trump Entertainment’s chief executive officer, told employees in a memo dated Nov. 5 that the loss of casino revenue during the shutdown “will linger for many months and has complicated our already challenging financial situation.”
Trump Entertainment originally planned to let workers use their vacation time in place of days lost to the shutdown. However, Griffin said the company has reversed that decision as it looks to save money. He also said salaried employees must take a week off without pay by Dec. 2.
“We recognize the hardship you and your family are already enduring, however, in order to keep the properties open through the upcoming weeks, our only alternative is to implement a more aggressive savings plan,” Griffin told employees in the memo.
Griffin noted that the casino industry has been hurt by hurricane damage in Atlantic City’s feeder markets. Atlantic City’s core customer base comes from New York and North Jersey, parts of which were slammed by the Oct. 29 storm.
Trump Entertainment spokesman Brian Cahill did not immediately return messages Monday seeking comment about the employee austerity measures.
Trump Entertainment is the parent company of Trump Taj Mahal Casino Resort and Trump Plaza Hotel and Casino. Both Trump casinos suffered a more than 30 percent plunge in their October gambling revenue during the hurricane-shortened month. Trump Plaza had just $6.6 million in total revenue from its slot machines and table games, the lowest among Atlantic City’s 12 casino hotels.
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