The Radisson Blu Minneapolis Downtown hotel intends to layoff about 126 employees starting in November because fewer people are traveling during the COVID-19 pandemic.
In a WARN letter to the state of Minnesota, which is required by law, the hotel at 35 S 7th St. in Minneapolis said it has to layoff employees as a "result of unforeseen business circumstances, namely, a catastrophic loss of business for the company's services on a nationwide scale due to the COVID-19 pandemic."
Radisson Hotel Group, based in Minnetonka, says public health concerns have "significantly reduced travel" as people are urged to stay home to slow the spread of the virus, coupled with some local governments issuing orders requiring some businesses to close.
"The hotel has experienced a significant occupancy and revenue decline since the beginning of COVID-19, which forced us to make this hard decision. The hotel will remain open and continue to serve our guests," a spokesperson for Radisson Hotel Group told BMTN.
The employees who are being laid off hold a variety of positions at the hotel, including banquet servers and managers; bartenders; chefs and line cooks; servers and baristas; bell captains; catering sales manager; director of sales marketing; marketing and social media coordinator; front office workers; laundry attendants; linen runner; turndown attendant; uniform room attendant; and maintenance engineer.
According to the WARN letter, some of the positions are represented by the Unite Hire Local 17 and AFL-CIO unions. Meanwhile, non-union, full-time employees are eligible for severance and employees will be paid for unused vacation time.
The Radisson Hotel Group is the latest employer in the travel industry to announce mass layoffs in Minnesota amid the pandemic. Hudson News earlier this month said it was laying off 61 workers at the Minneapolis-St. Paul International Airport. HMSHost told the state in August it would be laying off 404 employees and in July Aero Service Group (ASG), based in St. Louis Park, informed the state that it would have to layoff up to 92 people due to the pandemic and a decline in air traffic.