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100 more Dynasty employees let go
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Posted on Dec 18 1998
About 100 more employees of the Tinian Dynasty Hotel And Casino have been laid off this month in another round of job cuts the management has implemented to cope with the deepening financial trouble plaguing the resort complex.
This brings to close to 500 the total number of employees who have been retrenched since the Dynasty announced in August that it was downsizing its 1,300-strong work force to deal with multi-million losses caused by poor tourist arrivals.
Those who lost jobs were mostly supervisors and junior executives, according to employees who have recently received their termination notice. The employees were offered free plane ticket to their country of origin plus one month salary.
The cash-strapped Dynasty has spent more than $800,000 to cover salaries and other benefits of employees who had volunteered to resign. In August, the management paid more than half-a-million dollars to some 300 employees who were terminated.
Sources said Dynasty executives are targeting to further slash jobs to 700 and implement pay cuts by as much as 30 percent beginning next year to keep the hotel and casino resort afloat.
Recently the management has issued a memorandum announcing pay cuts from 20 percent to 30 percent, a move that is expected to be rejected by employees, who have been receiving salaries equivalent to 50 percent of their take home pay since five months ago.
Dynasty, the first major investment project on Tinian, has been losing money since it opened in April, and its executives has been confronted with difficulties in tapping potential investors or outside financing to bail out the resort complex due to the Asian currency crunch.
The Northern Marianas previously pinned its hopes on the casino industry to resuscitate the floundering tourism business, the lifeblood of the island economy.
