BUSINESS + ECONOMY

City of West Jordan wraps-up voluntary layoffs, planning additional cuts

Apr 27, 2020, 5:32 AM
The city of West Jordan is issuing additional job cuts after receiving a handful of voluntary layoffs. (PHOTO: West Jordan City Hall | West Jordan City FB)
(PHOTO: West Jordan City Hall | West Jordan City FB)

WEST  JORDAN, Utah — The city of West Jordan is providing an update after asking employees if they are interested in voluntary layoffs.

Deal or no deal?

The city has been offering various compensation packages, including three months of pay and benefits, while another option would extend health insurance for a longer time.

Tauni Barker, Director of Community Engagement for West Jordan, says a handful of employees have stepped forward volunteering for the layoffs.

“About nine to ten people took advantage of our voluntary layoffs,” says Barker. “We were pleased with the results and so grateful to those who were willing to step-up.”

She says while that number was around how many volunteers they were hoping to step forward, it still will not be enough to adequately make-up for the city’s decrease in revenue. Because of that, additional jobs will be eliminated.

“We will be seeing some involuntary separations moving forward,” she explains. “Approximately five percent of our existing workforce.”

With just over 500 employees in the city, around 20 positions will be eliminated. Individuals impacted by the involuntary layoffs will receive thirty days of administrative leave. Beyond that, they will be entitled to an extra month of pay with benefits if they sign a separation agreement.

More to come?

The city believes this will be the last wave of layoffs, but just like so many other entities, is stressing that everything is “wait-and-see” right now.

“These are definitely uncertain times,” she says. “We believe the additional five-percent of employees that we will be laying off from the city will complete the process of layoffs for this year. However, we will be doing periodic checks and trying to keep things in balance going forward.”

Earlier in April, the city was reporting a 10% decrease in their tax revenue, which estimates to around $8 million. Like other cities, they’re seeing the biggest decline in revenue coming from a decrease in sales tax.

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City of West Jordan wraps-up voluntary layoffs, planning additional cuts