Navajo Gaming lays off 900; more to come
The Navajo Nation Gaming Enterprise layoffs have begun.
NNGE CEO Brian D. Parrish said more than 900 gaming employees will be laid off at the end of business (July 27th, 2020) in the enterprise’s first phase of layoffs. After that, in approximately a week, he added, up to 140 additional employees would begin receiving phone calls or letters informing them they will be laid off.
“We’re in the process of notifying them now,” Parrish said in a phone interview. “We’re doing that with phone calls from their supervisors. And if we can’t get ahold of them, we’re also sending them letters, so they have the information.”
On Thursday, Parrish said all 1,180 of the enterprise’s employees would be affected by the layoffs because the casino’s cash reserves were nearly exhausted. All four of its casinos have been closed since March 17 due to the COVID-19 pandemic.
Source – Navajo Times
What you need to know!
Navajo Nation Gaming Enterprise 401k Savings Plan is a defined contribution plan with a profit-sharing component and 401k feature. This plan has a BrightScope Rating of 59. This plan is in the top 35% of plans for Participation Rate. Navajo Nation Gaming Enterprise 401k Savings Plan currently has over 1,400 active participants and over $12.5M in plan assets.
That being said, the rating of 59 versus a top rating of 82 could equate to 11 additional years of work and or over $133,869 in lost savings.
The plans administrator is Cecilia Au and is handled in Church Rock, NM. The Corporate Trustee, Recordkeeper and Investment Advisor is Wells Fargo.
Most 401k, Profit Sharing or ESOP plans do not have active management so there really is no one guiding the plan investments. What this means is that like most traditional investment companies, in the event of an economic downturn there is no method for automatically moving your portfolio to a lower risk profile.
With the WealthSentry system we participate in, accounts are automatically re-balanced to lower risk portfolios in the event of a severe economic downturn. Learn more in our guide, 6 Critical Steps You Must Take Now.
For an in-depth analysis of your options feel free to make an appointment, read one of our guides or participate in one of our workshops.
Wishing you the best.
Doug Reed, CRPC, AAMS