AM I NEXT? NO LOVE AT MTC -- TAFT CORRECTIONAL INSTITUTION

DECEMBER 23, 2019 — TRUMP ADMINISTRATION VERSUS CALIFORNIA.

It appears that the Trump Administration has renewed its contracts with several private prisons, including Management & Training Corporation. Management & Training Corporation has been awarded a contract for $679 million to operate a facility in Calexico with capacity for 704 beds. There is no news about other facilities at this time.

Original Post…

Centerville, Utah-based Management & Training Corporation, provider of private detention, rehabilitation, and support services, has announced that the federal government will be closing the company-managed minimum-security Taft Correctional Institution located in Taft, California. It is believed that up to 350 employees will be laid off when the Federal Bureau of Prisons closes the prison on January 31, 2020.

According to a statement issued by the company, “The BOP commissioned a comprehensive evaluation of the facility and determined it would need $100 million to make the repairs which the BOP says it does not have—forcing the closure of the prison. We believe the BOP should reverse this decision and allow time to discuss alternatives to closing the facility including developing a plan to address needed repairs while keeping the prison open."

The closure is becoming a political “hot potato” considering its impact on employees and the local community. It has been suggested that the facility could easily be re-purposed as an immigration center for illegal aliens awaiting an expedited deportation hearing.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT AVENUE STORES

Rochelle Park, New Jersey-based Avenue Stores, a women's clothing retailer that specialized in fashion for plus-sizes was unable to attract additional financing and has decided to shutter all of their 260 retail stores in 33 states, leaving hundreds of employees without jobs. In a filing with the State of New Jersey, the company indicated it will be laying off 152 employees at its Rochelle Park location effective September 30, 2019.

All of the store’s merchandise, including store fixtures, will be sold by liquidation specialists.

Avenue is owned by a private equity firm, Philadelphia, Pennsylvania-based Versa Capital Management who acquired the company in a 2002 bankruptcy sale. Versa attempted a financial restructuring in April, 2019 which included a capital infusion from Versa and a revolving line of credit from PNC Bank. At that time, a press release touted, “By increasing overall liquidity, reducing interest rates, and removing all debt amortization payments, AVENUE’s new capital structure is much more stable, flexible and better aligned with the strategic needs of the business. In addition, its new capital structure will further strengthen the Company’s ability to continue investing and providing customers with the fashion and service they deserve.”

On August 1, 2019, an article in the New York Post claimed that “Plus size retailer Avenue has 60 days to find a buyer — or it will shutter all of its 260 stores across the country.”

Avenue is not the only plus-size retailer to encounter problems in a difficult market, made more difficult by online retailers and self-cannibalization. Dressbarn’s May, 2019 announcement indicated that it would be closing their entire plus-size 650-store chain by the end of 2019 and laying a thousand-plus of employees due to declining sales.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life, or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT QUALCHOICE MEDICARE ADVANTAGE INSURANCE

Little Rock, Arkansas-based QualChoice Health Plan Services, a manager of Medicare Advantage health insurance plans through Soundpath Health, will close its Federal Way office and layoff 164 employees.

QualChoice’s owner since 2014, Catholic Health Initiatives, has decided to divest its health plan operations and has sold the Soundpath health contract to Premera Blue Cross. The layoffs should come as no surprise to any employee as the company announced its plans to divest its certain health plan operations in 2016.

However, the plan closing does come as a shock to its senior citizen clients. In a letter dated October 2, 2018, the company advised its members that “QualChoice Advantage won’t offer your Medicare plan in 2019. This means your coverage through QualChoice Advantage will end December 31, 2018. You need to make some decisions about your Medicare coverage. It is important you take action before December 31, or you will lose your prescription drug coverage and only have Original Medicare starting January 1, 2019.”

It can happen to anyone, anytime, anywhere ... are you wondering, Am I Next?