Penn National furloughs 26,000 employees
Penn Interactive not included in temporary lay-offs as firm withdraws 2020 financial guidance
Penn National Gaming has furloughed 26,000 members of its workforce, including senior management figures, as a result of the coronavirus pandemic.
To mitigate the temporary closure of all of its casino properties, and the potential extension of the closures in some states, the firm has temporarily laid off around 26,000 staffers as of April 1.
Employees will be paid up to March 31 and continue to receive company medical benefits up to June 30.
Group CEO Jay Snowden has said 850 “minimal, mission critical” employees will remain in full-time employment, including those at online arm Penn Interactive.
Snowden and the remaining senior staff will take “meaningful” pay cuts and the board of directors will forgo any cash compensation from April 1, until the properties have returned to normal operating conditions.
Snowden said: “Penn National is a family, and we deeply regret the hardship this will place on you and your loved ones. We are extremely motivated and focused on re-opening our properties as soon as it is safe and legal to do so.
“Since the time we suspended operations, we have taken swift measures to confront this unprecedented challenge head on and have managed to significantly reduce our daily operating expenses.”
He added: “While the steps we’ve taken are deeply painful on a personal and professional level, I am confident these moves will help to preserve our Company’s and our team members’ long-term future.”
The firm has also withdrawn its 2020 financial guidance and will provide a further financial and operational update in May. It had estimated EBITDA to range between $1.67bn to $1.70bn, including costs associated with the launch of its Barstool Bets app.
Penn National’s online arm Penn Interactive laid-off a handful of staffers earlier this month, unrelated to coronavirus.