The union representing Trump Taj Mahal employees filed a proposal in the Trump Entertainment bankruptcy case hoping that it will be enough to keep the doors open. The concessions proposed by UNITE HERE Local 54 include lower pension contributions, according to the Press of Atlantic City.
Trump Entertainment is seeking to stop all pension and health care payments. The company is hoping to convert health care provided by the company into insurance offered by the Affordable Care Act. It is also asking for employees to contribute into a 401k plan, as opposed to company funded pensions.
Trump Entertainment asked state and local governments for help in staying open. No progress has been made on those fronts.
Trump Taj Mahal announced that it may close on November 13, 2014 unless it can reach agreements with employees and receive tax benefits to help its dire financial situation. Parent company Trump Entertainment has yet to formally file the request to cease operations with the New Jersey Division of Gaming Enforcement as it waits to see if its demands are met either through compromise or court order.
Union leaders and Trump Entertainment will meet again Friday for negotiations.
Carl Icahn holds an estimated $286 million in mortgages belonging to Trump Entertainment. Icahn, leads the ownership of Tropicana in Atlantic City, has said that he will infuse the company with $100 million if his debt is converted into equity. He would also require concessions from the employee union and governments.