Salt Lake City nonprofit furloughs 110 workers amid contract cut and insurance costs
Advantage Services CEO Robert Ferris said the nonprofit needs about $500,000 to operate through the end of the year.
Based on reporting by FOX 13 News Utah. Read the original story →
Advantage Services, a Salt Lake City nonprofit that provides jobs for people facing barriers to employment, has furloughed 110 employees, FOX 13 News reported. CEO Robert Ferris said the three-week furlough began Oct. 12 after the organization could not cover a third payroll in October. [1]
Ferris said the nonprofit had 160 employees six months ago and has permanently lost 50 positions. He said its largest Salt Lake City contract was reduced from about $2.165 million to $1 million, and that insurance costs rose more than 300% and fuel costs also climbed. [1]
Salt Lake City said it cut the contract after moving more cleanup work to its own staff. The city said it created an Urban Services Division in spring 2025, that the division later reported less demand for outside cleanup, and that the City Council approved the $1 million reduction in spring 2026. The city said it continues to look for other work for Advantage Services, including projects in parks and along city streets. [1]
Ferris said the city's decision may have lowered cleanup costs but overlooks the value of giving people a chance to work. "The real cost is helping people, working with those who are the most vulnerable, getting them back into society," he said. Furloughed employee Alexander Adam said the job "kept my home" after he lost a custodial job. [1]
Ferris said the nonprofit is pursuing additional contracts, fundraising and possible partnerships or a merger with another nonprofit to preserve jobs and services. [1]
Sources
- FOX 13 News Utah: 34 year-old Salt Lake City nonprofit furloughs 110 employees amid financial crisis
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