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MGM Resorts to lay off 18,000 workers, impacting a fourth of its pre-pandemic staff

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MGM Resorts to lay off 18,000 workers, impacting a fourth of its pre-pandemic staff

LAS VEGAS – Thousands of MGM Resorts workers will be out of work on Monday, according to a letter CEO Bill Hornbuckle sent to employees.

“For the protection of workers, federal law requires companies to provide a date of separation for furloughed employees who are not recalled within six months,” the Friday letters read. “Regrettably, August 31, marks the date of separation for thousands of MGM Resorts employees whom we have not yet been able to bring back.”

The layoffs come five months after the COVID-19 pandemic shuttered the Las Vegas Strip and resorts across the U.S., bringing the tourism economy to a halt and putting a majority of the hospitality workforce out of jobs.

The MGM layoffs will impact 18,000 – one fourth of the 68,000 workers the casino company employed before the pandemic.

“I understand the impact this will have on these employees and their families,” Hornbuckle wrote in the letter. “Nothing pains me more than delivering news like this.”

Laid off workers will receive healthcare benefits through Sept. 30 and remain on the company’s recall list, Hornbuckle said.

Read the full letter here: 

Message From Bill Hornbuckle – 8.28.20 by Reno Gazette Journal on Scribd

An unprecedented economic slowdown in the wake of the coronavirus forced MGM Resorts International to temporarily lay off nearly 63,000 resort workers in May

In the wake of the COVID-19 shutdown, the operator of a dozen properties in Las Vegas forecasted a grim financial future: significant decrease in revenue, cancellation and non-booking at hotels, restaurants and entertainment events – as well as postponements and cancellations of convention bookings.

The spread of COVID-19 staggered stock prices of Las Vegas casino companies like MGM Resorts. In late February, the company’s stock price hovered around $32 per share.The stock today is about $24 per share.

The Mirage resort opened on The Strip Thursday – five months after the pandemic shut it down. The property is one of the last of 13 MGM Las Vegas hotels to reopen

The reopening of the Mirage leave Park MGM and NoMad, a boutique hotel within Park MGM, as the only two MGM hotels still closed.

Ed Komenda writes about Las Vegas for the Reno Gazette Journal and USA Today Network. Do you care about democracy? Then support local journalism by subscribing to the Reno Gazette Journal right here

This article originally appeared on Reno Gazette Journal: MGM Resorts expects to lay off 18,000 workers

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