Biltmore Estate cuts health insurance to part-time employees

Share
Jason Sandford

Jason Sandford is a reporter, writer, blogger and photographer interested in all things Asheville.

  • 1

 Here’s an e-mail from a loyal Ashvegas reader, and a concerned Biltmore Co. employee. 

Did you know Biltmore Company, after cutting part-time employees hours during the economic downturn several times, as much as 10 hours a week and more, is now cutting health insurance coverage?  Part-timers, known as Flex Staff, seem to be bearing the brunt of the decline in Biltmore revenue.  Full time staff will continue with Blue Cross, Blue Shield benefits while Flex staff BC/BS coverage will be replaced with Trans America coverage of uncertain quality.  Announcement of the cuts on Flex staff benefits was made by US mail –flyers received by some on Saturday, others on Monday. The notice states all Flex staff must attend mandatory meetings Tuesday and Wednesday at which time details of the benefits reductions will be outlined.It is rumored that company 401-k contributions will also end.  These cuts to employees come at the same time the company is undertaking an $18.6 million dollar expansion to the winery and farm area.

Flex staff are the backbone of Biltmore’s operation. Many are retired or semi-retired older employees who rely on the health insurance coverage Biltmore traditionally provided. Hourly wages at Biltmore are modest, in the $10 an hour range, but many of the Flex staff endure low wages for the opportunity to participate in the company health care plan.

Biltmore Company is the second largest employer in Asheville, North Carolina. Still a family- owned business, Biltmore reportedly takes in over $160 million annually from tourists and visitors eager to see the opulent splendor of George W. Vanderbilt’s private residence–still the largest private home in America. 

The official response from the Biltmore Estate:

We take our role as a major employer in this area very seriously and are dedicated to the families we employ, especially in this uncertain economic environment.  The downturn continues to impact our company, as well as all businesses in our community and country.  To address it, we are carefully managing expenses to protect the financial health of our company and maintain our economic contribution to this community.  That includes finding the best health insurance options to meet the needs of our employees and address the nationwide issue of rising healthcare costs.  We are very proud to be able to offer part-time employees the benefit of a group health plan.

We agree that part-time positions are the backbone of variable staffing for many businesses. We are honored to have dedicated staff members who enjoy the flexibility of part-time employment and we are committed to them.  We have always operated under a variable staffing model that increases and decreases based on the volume of business.  This is something we have faced more frequently in this recession.

We are also proud to be making long-term investments, like the expansion of our winery and farm area, which will provide future growth and jobs in this community.   

All of our spending adjustments during this difficult economy have been with one goal in mind: keeping our team working.  Open door communication with our employees is a cornerstone of this company and has been for generations.  We encourage any of our employees who have concerns to let us know how we can help. 

Jason Sandford

Jason Sandford is a reporter, writer, blogger and photographer interested in all things Asheville.

  • 1

18 Comments

  1. 203 March 9, 2011

    I too worked at Biltmore Estate for several years and and it was a privilege to work with the people I did. I worked for and with some of the best and professional managers (Larry Rankine) I have ever encountered. My time and memories spent with the Biltmore Company will live with me forever. Thanks Bill.

    Reply
  2. Marybelle Perrigan March 1, 2011

    You’ve got a point there Ellen. It is truly the employees who signed for that contract and nobody forced them to do it. But I guess still the estate should learn how to value their people and good health is their capital to work and their industries profit. I’m sure there are lower Medicare supplement insurance quote that they can find.

    Reply
  3. Ellen June 8, 2009

    Lots of talk here about what other employer pays part of health insurance for part time staff. Its true, but so what. It was Bilmore offered and what employees accepted. Low wages,fewer hours, but health insurance. It was a deal,

    Biltmore suddenly decided to break the deal. Less than a month’s notice. Not, ‘we’ll pay less you pay more, not ‘we’ll end insurance in six months, make other plans,’ but: Guess What? You’re dumped! On your own. Suffer!

    Hard to know what’s worse: What they’ve done, or the way they did it.

    Reply
  4. Ellen June 8, 2009

    Daniel has it wrong. Bilmore is not PAYING any part insurance for employees who are not full time. They suggest they buy ‘junk insurance’ which covers very little. Consumer Reports suggests no one buy this kind of limited benefits policy. What Bilmore did, was dump its workers with short notice. Do they have a right to do so? Of course. Is it a humane, considerate, appropriate thing to do? You decide. Biltmore had a social contract with its employees who came to depend on health insurance, it was part of the bond of employee to employer. There was no legal requirement for Biltmore to live up to it’s social contract. But neither does it speak well of the family who runs and profits from the hard work of its staff.

    Reply
  5. Daniel June 8, 2009

    I think "Tara" is the greatest! You go girl!! I too have been employed by Biltmore, and felt the employee was always in mind with decisions being made by the company. Many people will agree, that the fact that you have a job at all is the most important. And call around to other large area employers and ask if they even offer any medical benefits to their part-time staff. The answer will be NO.
    And I have heard that Biltmore has even offered insurance benefits to their "reserve" staff which is a much larger percentage of Biltmore’s work force, and are not guaranteed hours on a regular basis, but are more seasonal or on-call. No other businesses will do that!
    I have worked for various restaurant and hotel employers, and felt Biltmore was a very positive and caring employer. Maybe the intial blogger should rethink his priorities and the good attributes of his Biltmore position.

    Reply
  6. Kenilworth Chick June 7, 2009

    Re "expensive place to visit" comment: spending a day at Biltmore with the family is no more expensive than going to a Carolina Panthers game or a NASCAR race or Carowinds.

    Reply
  7. ThePhan June 6, 2009

    It is interesting that most of the negative comments come from former employees. I am also one, but my experience was much different.

    There is hardly a business in America that isn’t having a hard time these days. Did the Vanderbilts have to do drastic things during the Depression, versus when the estate first opened in the Gilded Age? Probably. Does Biltmore have to do some things it doesn’t like in order to survive now, versus just a few years (or months) ago? Of course. Even Harrah’s had to lay off employees back in January, and everyone thought they were a cash cow.

    Reply
  8. tara June 6, 2009

    really? really???

    i just have to say… i am truly shocked right now… first from the initial post and second from the first few comments posted… i have NEVER EVER EVER heard of part time employees being offered health care coverage, much less an employer contributing to the cost… NEVER!!!

    the fact that the estate is even providing an option for coverage with the new carrier is huge in these trying times! these people are lucky that they werent outright fired like most flex employees these days! (btw… i would love to know how flex staff are the "backbone" of the estate? not being demeaning, but c’mon… the "backbone"?)

    why is the estate being persecuted for expanding??? ummm… HELLO??? expansion is a GOOD THING! is it so far fetched to see that an expansion=more jobs? (i feel like i’m having a ’92 carville moment -"its the economy stupid!") obviously the people that are performing the expansion are working… and once the project is finished there will be even MORE positions. every single time you turn on the news all you hear is that companies are downsizing. here we have one of our largest employers expanding and now we’re going to trash them for doing so??? for real?

    and yes, i know that we think that all the tourists come here for the downtown scene and the mountains, but thats not exactly the case… almost every visitor that comes here visits the biltmore estate, so love it or hate it, the estate is a HUGE draw for every nook and cranny of our lovely little sustainable community! if we didnt have those tourist dollars, our local economy would be way worse than it is now!

    its truly shocking at how ungrateful people are (ie… initial poster)! our teachers are losing their jobs! not just their healthcare coverage, but their JOBS people! oh…. did someone say "backbone"???

    (tara is now putting her soapbox away… rant over)

    Reply
  9. Bulldog June 5, 2009

    Bashing Biltmore Co. is a popular pasttime, but in this case unjustified. There are many companies, large and small, in this region and in this economy who cannot afford ANY health care or retirement benefits for either full- or part-time employees. The fact that Biltmore Co. offers any measure of benefits for part-time staff is commendable.

    Reply
  10. Biltmore worker June 5, 2009

    Here is a quote from the Company website:

    Employee satisfaction is an important part of our company culture. Our working environment has earned us numerous awards including one of the "Best Employers in North Carolina" presented by Best Companies Group, Inc. and the "Silver Well Workplace Award" certified by the Wellness Council of America. Our comprehensive benefits package helped us win these accolades and includes:

    * Health, life, and dental insurance
    * Short and long term disability insurance
    * Company-paid defined benefit pension plan
    * 401(k) with matching company contributions
    * Paid sick, vacation, and holiday leave
    * Profit sharing plan
    * Comprehensive leave of absence plan
    * Employee assistance program
    * Tuition reimbursement
    * College savings plan

    Reply
  11. LOKEL June 5, 2009

    Good point Mike …. but they are one of the largest employers in the area … and the amount of money they make is outrageous (even in an economic downturn).

    They used to crow about all the benefits their employees get/got and used the legacy of GWV to assert that.

    It does seem that more and more the almighty dollar (as in profit) is all that is important to them.

    Reply
  12. Sweeten Creeker June 5, 2009

    I worked at Biltmore Estate on and off for many years. It used to be a privilege to work there and enjoyed it a lot. I decided to stop working last year mostly because they kept cutting back hours on short notice. It got to be not worth my time to drive there for the pitiful wage. The management does not seem to care about workers. I noticed declining crowds there in the recent years. It is an expensive place to visit for sure.

    Reply
  13. Mike June 5, 2009

    How many other local employers pay for health insurance for their part time workers? For that matter, how many can still afford to pay all the cost for their full time workers?

    Reply
  14. LOKEL June 5, 2009

    I too am a former employee of the Estate and believe there are two sides to every story … I do not share in the opinion that the place is a horrible place to work …

    Reply
  15. Diogenes D'Luna June 4, 2009

    If "dedication to the families we employee’ means cutting to zero the contribution health care insurance then Biltmore needs to rethink its business eth ics. They dropped coverage entirely and suggest as an alternative an entirely employee paid limited benefits plan that Consumer Reports calls ‘junk insurance’ and recommends its readers not buy.

    What Biltmore has done to its employees is cruel, heartless, hasty and ill-considered. Loyal employees have real reason to question Biltmore’s loyal;ty to them despite what the PR department says. Actions count far more than words.

    George and Edith Vanderbilt, admired and praised for their benevolent treatment of staff and estate workers, are turning in their graves.

    Reply
  16. Asheville Dweller June 4, 2009

    I thought the massive drawing power of this dank little town would at least have some roll over to Biltmore.

    Reply
  17. Russell June 4, 2009

    I worked there last year and will NEVER go near the place again. The managers think they are so almighty and don’t respect employees regardless if they are full time or part time. It was pretty slow most of the time with a lot of useless busy work for most of us. My friend still works there at the Inn and said things have gotten worse because they don’t have so much traffic this year.

    Reply
  18. rachel h June 4, 2009

    So glad you posted this info.

    Biltmore Co. is a horrible place to work, mostly because the company is such a bad employer. They pay horrible ages, and now to cut health benefits for part-time staff.

    I know for a fact that the company is having a hard time. I worked there this spring and visitors were way down from previous years. If you’ve seen the house once, that is plenty and they are not getting many repeat visitors and the number of annual passes sold is way down from a few years ago.

    Reply

Leave a Comment

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.