Local NewsCoronavirus


MGM Resorts prepares for demand drop amid pandemic through end of year

Company unsure how many workers will be brought back
MGM Grand Las Vegas.JPG
Posted at 4:34 PM, May 05, 2020
and last updated 2020-05-05 21:48:05-04

LAS VEGAS (KTNV) — MGM Resorts says it is continuing to monitor the current economic situation brought on by the pandemic, but uncertain of how many employees will be able to be brought back to work this year.

A document was sent to many MGM Resorts employees on Tuesday that stated the company is preparing for a significant drop in tourism once the state allows the properties to reopen:

"We are hopeful for a swift recovery and are working diligently on new health and safety protocols to provide a safe, trusted environment upon reopening.

However, we are realistic in our understanding that domestic and international travel will remain limited for some time.

We believe that demand for travel will be significantly decreased for the remainder of 2020 and could continue through the early part of next year."

The document is signed by acting President and CEO of MGM Resorts Bill Hornbuckle. He wrote that one of the main priorities throughout the pandemic was to ensure that employees have continued access to health care.

RELATED: MGM Resorts report closures, layoffs

Tuesday's letter said that the company will extend the MGM Resorts Health Plan to all furloughed employees enrolled until August 31.

However, the future still remains uncertain when it comes to the ongoing pandemic:

"Based on the current situation, we now believe that some of our colleagues may not return to work this year.

And, given the continued uncertainty facing our industry, we simply don't know just how many employees will return to work within the coming months."

Hornbuckle also mentions the Employee Emergency Grant Fund remains available for employees for assistance.

The fund is expected to assist with rent, mortgage payments, groceries, and utilities - with $13 million available in funds., according to MGM Resorts as of May 5.

"The temporary closures of properties since March and the decision to furlough thousands of colleagues has been the most challenging period ever faced by the company," Hornbuckle wrote in the document.

RELATED: MGM closes Las Vegas properties to reduce COVID-19 spread, company says

And the company plans to "Welcome back employees with open arms" once the industry bounces back.