High-Profile CT Dealership Gets Creative With 'Layoff' Retention

VERNON, CT — One of the most high-profile automobile dealerships in Connecticut has been forced to lay off more than 60 workers at its locations in Vernon and Milford because of the restricticve coronavirus business environment. It's still paying some benefits in a move to retain the staff members, its owner said.

Key Hyundai made the announcement in a letter to the Connecticut Department of Labor. Owner Jill Merriam said it is cornavirus-related. Merriam sounded heartbroken when discussing the move Friday and vowed to hire back "every single employee."

"The law requires us to frame it as a layoff because we don’t know the date of rehire," Merriam said. "Our service business is deemed essential and we have maintained a good portion of our technical staff. Our sales department is open for online and phone sales."

Key Hyundai has been using valet service for its shops and disinfects vehicles coming out of the garage.

The layoffs began on March 27. They include 25 at the Vernon dealership at 21 Hartford Turnpike and 37 at the Milford dealership at 566 Bridgeport Ave. The employees are non-union, the notice indicated.

Merriam said the company is paying 100 percent of its employees' health insurance until they are rehired. She said that adds up to more than $100,000.

Merriam said Key has offered two weeks salary in the form of a loan to employees and the loans would be forgiven if the staffers come back to work and stay for a year.

"Our employees are our family," she said. "This is our life and livelihood. We don’t take any of the decisions lightly and in fact, the last month has been one of the hardest of our lives. Each decision we are forced to make is gut-wrenching We are balancing taking care of our employees with ensuring they have a place to come back to."

Key Hyundai is one of the most advertised vehicle dealership chains in the state with Merriam taking on her "Dealer For The People" persona over a variety of media outlets.

Key Hyundai is also known for being a benefactor of various programs in the state.

"As a small business owner, we have dedicated our lives to giving back to our employees and to our community, including thousands of dollars to support local teams and schools, local events and tens of thousands of dollars to Journey Home in Hartford, Connecticut Children’s Medical Center, the Jewish Federation and Big Brothers Big Sisters," Merriam said.

Key also has a dealership in Middletown and normally sells 270 vehicles each month between the three locations, Merriam said. That tally is down considerably amid social distancing orders from the governor, she said.