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Salt Lake City nonprofit furloughs 110 employees amid financial crisis

The Salt Lake City nonprofit provides jobs for people facing barriers to employment.

(Fox News 13) Advantage Services, a Salt Lake City nonprofit that provides jobs for people facing barriers to employment, has furloughed 110 employees.

(Fox News 13) Advantage Services, a Salt Lake City nonprofit that provides jobs for people facing barriers to employment, has furloughed 110 employees.

Advantage Services, a Salt Lake City nonprofit that provides jobs for people facing barriers to employment, has furloughed 110 employees as it struggles with a $1 million cut to its largest city contract and sharply rising insurance costs.

Founded in 1992, the nonprofit employs people facing homelessness, disabilities, addiction and barriers related to criminal records. Its workers handle cleanup and biohazard removal, landscaping, snow removal and transportation for homeless service providers. Others staff kitchens and support programs at housing sites.

“Advantage Services began a three-week furlough Oct. 12 after it could not cover a third payroll in October,” CEO Robert Ferris said. “The nonprofit had 160 employees six months ago and has since permanently lost 50 positions.”

Ferris said the nonprofit’s largest Salt Lake City contract was reduced from about $2.165 million to $1 million. He said the loss of work, along with higher insurance and fuel costs, has made it difficult to keep the organization financially stable.

“We had less work,” Ferris said. “Insurance shot up over 300%. So with loss of work, higher insurance costs, higher fuel costs, it’s just been very difficult to maintain a solvent company.”

This article is published through the Utah News Collaborative, a partnership of news organizations in Utah that aim to inform readers across the state. Read the full, original story at Fox 13 News.

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