Published Mar 24, 2020

Rapid Response: Danny Meyer on the wrenching decision to do layoffs

Danny Meyer, founder of Union Square Hospitality Group, delves into the tough decision to lay off 2,000 employees during the pandemic, highlighting resilience, strategic planning, and compassion as key elements in the restaurant industry's survival and the role of enlightened hospitality in crisis management.
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  • Employee Support

    Danny Meyer, faced with the difficult decision to lay off 2,000 employees, prioritized employee support through various initiatives. He ensured that laid-off employees would receive pay through the following work week and maintained their healthcare premiums through April 11. Meyer shared a poignant story about an employee whose maternity leave coincided with the end of her healthcare coverage, prompting him to use the employee relief fund to support her.

    It just forces you to go, yeah, it's a mistake, probably, to start making exceptions on a group policy, but that doesn't mean you can't come up with another solution for the benefit of a human being.

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    This fund, initially conceived years ago, was fast-tracked to provide immediate aid to employees in need, with Meyer donating his compensation and gift card sales to support it 1 2.

       

    Community Connections

    In the midst of the crisis, Meyer emphasized the importance of community connections and partnerships to support his employees. He received offers of help from various businesses, including Hertz, which offered vehicles to aid in food distribution. This spirit of collaboration extended to sharing job opportunities with laid-off employees, as some businesses were thriving and in need of workers.

    People who have an abundance of something are writing with opportunities to help.

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    The Community Support Fund, initially a concept for emergencies, was activated to provide financial assistance, with Meyer's compensation and gift card sales contributing to its growth 3 2.

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