Buffalo, N.Y. (WBEN) - The Buffalo Catholic Diocese continues its Chapter 11 restructuring with layoffs of employees at The Catholic Center in Downtown Buffalo. Staff will be reduced by 22%.
"Echoing what Bishop [Michael] Fisher has asserted consistently, we have no higher priority than to fulfill our obligations to the Creditors Committee, aimed at supporting the healing of victim-survivors of sexual abuse," said Rick Suchan, Chief Operating Officer in a statement on Wednesday. "The very difficult actions we have announced today at the Catholic Center mirror the sacrifices we have required of all parishes of the Diocese. We cannot adequately express our gratitude to the members of the Catholic Center staff who have worked tirelessly to deal with the difficult challenges of recent years, while continuing to support the ministries vital to serving so many needs across Western New York. We are committed to doing everything possible to ease the departure of those staff members affected by these cost reductions, which in no way reflect their performance or lasting contributions."
The Catholic Center currently has 75 employees. According to a spokesperson with the Diocese, the reductions impact roughly 18 positions of the total employee base at the Catholic Center.
The Diocese says those affected will be paid through Aug. 31, with health benefits continuing through Sept. 30, and then will be eligible for COBRA for their health care coverage.
Remaining staffers will transition to a four-day work week beginning Sept. 1. The number of paid holidays will also be reduced. and altogether eliminated for part-time employees working less than 25 hours a week.
According to the Diocese, the plan is for all Catholic Center personnel to be relocated from the current Catholic Center offices at 795 Main Street — given that the property is currently for sale — to office space next door at 801 Main Street during the coming months. The diocese estimates annual cost savings of more than $1.5 million.
The Diocese is looking to fulfill the $150 million settlement amount that has been accepted in principle by the Creditors Committee in the bankruptcy proceeding. Separately, mediation continues with insurers to identify prevailing coverage amounts that will be added to the total settlement.