Boyd Gaming is taking further steps to minimise the financial effects of the Covid-19 pandemic, which resulted in the mid-March closure of all the company’s assets.
The company will position most of its team members on unpaid furlough, effective Saturday, April 11, due to the ongoing closing of all revenue-generating operations. Boyd must cover all insurance costs for furloughed staff members who are participating in the company’s health care policies before June 30 or their return to work, whichever is earlier. During the closure time a small number of key team members will remain on payroll.
“This is by far the most difficult decision we have ever made,” said Keith Smith, president and CEO. “We care deeply about the well-being of our team members, which is why we maintained full pay and benefits through April 10. Implementing furloughs was a last resort for us, but a necessary step to protect our company, especially given the current lack of visibility regarding property re-openings.”
Although the casino shutdown in Nevada was initially expected to last until April 16, Gov. Steve Sisolak extended non-essential business closures to at least the remainder of the month.
Boyd’s statement also said business executives will take “significant salary reductions.” All non-furloughed participants of their corporate and property management teams will receive a salary reduction, and their board of directors has decided to suspend their salaries.
In addition, all capital programmes and the cash dividend plan for Boyd were discontinued, and all non-essential spending was “postponed indefinitely.”