Updated
Updated · Salt Lake Tribune · Oct 18
Advantage Services Furloughs 110 Workers After $1 Million Contract Cut and 300% Insurance Spike
Updated
Updated · Salt Lake Tribune · Oct 18

Advantage Services Furloughs 110 Workers After $1 Million Contract Cut and 300% Insurance Spike

1 articles · Updated · Salt Lake Tribune · Oct 18

Summary

  • Advantage Services began a three-week furlough on Oct. 12 after it could not cover a third payroll in October, sidelining 110 employees.
  • A cut to its largest Salt Lake City contract—from about $2.165 million to $1 million—combined with insurance costs that jumped more than 300% and higher fuel costs, the nonprofit's CEO said.
  • The Salt Lake City nonprofit had 160 employees six months ago and has already permanently lost 50 positions as finances deteriorated.
  • Founded in 1992, Advantage Services employs people facing homelessness, disabilities, addiction and criminal-record barriers, providing cleanup, biohazard removal, landscaping, snow removal, transportation and housing-site support.

Insights

Why did Salt Lake City replace a lifeline for vulnerable workers with an internal department, triggering massive layoffs?
Can a desperate $500,000 plea save a decades-old nonprofit before its vulnerable workforce is permanently pushed back onto the streets?
With insurance costs spiking 300%, what happens to marginalized employees when their charitable employers suddenly face financial ruin?