A Third Of ProCAP Workers Laid Off
There's another shake up at ProCAP. This time, a third of the non profit's employees are laid off, just two days after the anti poverty organization in Providence filed for bankruptcy.
20 ProCAP employees were laid off today, but that's just the newest round of shake ups at the agency. Also announced Friday, former executive director Frank Corbishley is officially fired.
It's the latest move to help ProCAP keep its doors open. Board Chair Michael Solomon said laying off a third of the non profit's employees will save almost a million dollars in salaries and benefits.
“I think it's a step in the right direction,” said Solomon, “They need to reorganize. They need to operate more efficiently.”
ProCAP was operating more than 2 million dollars in the hole. Back in November, Solomon along with Mayor Taveras accused ProCAP of mismanaging hundreds of thousands of dollars.
Since then, several former board members and management were fired, and now 20 workers are gone.
“I think they can operate with fewer people, absolutely,” said Solomon, “They have the people in place right now that are running the operation, and I don't think there will be any shortfalls.”
The layoffs, go hand in hand with the board filing for bankruptcy earlier in the week. “ProCAP right now has just had a couple of bumps in the road, but we're moving forward to get ProCAP on the right track, so that it can still be an asset to the city of providence and the people that it services,” said Solomon.
Mayor Taveras has said the bankruptcy and the city's 250 thousand dollar bailout, were necessary to keep ProCAP helping people pay their utility bills.
“This is something we're doing because we want to make sure ProCAP survives,” said Taveras, “That's important, especially now during the winter time.”
But it doesn't change the fact that nearly two dozen people lost their jobs just before the holidays. They found out Friday afternoon.
“It's never a good time of year, let's put it that way, but these are steps that need to be taken to keep ProCAP running,” said Solomon.
ProCAP's heating assistance funds are still at stake. By the end of this month, the state will decide if it'll pull those funds. ProCAP has already lost millions in state aid.