PIC Saipan to eliminate 100 positions by May 24

04/30/2025 - Pacific Islands Club Saipan will eliminate 100 positions, citing financial difficulties due to slow occupancy figures, according to general manager YS Choi in a memo to employees.

Department of Labor Secretary Leila Staffler confirmed the report, saying that PIC Saipan submitted a reduction in force letter on April 15, 2025, stating that they will eliminate less than 100 total personnel, of which less than 40 are U.S. citizens.

The San Antonio hotel’s general manager stated the staff cuts in a “Reduction in Force Notice” memo to all employees dated April 24, 2025.

“As you are aware we have explored many options to survive. Unfortunately, our efforts have been unsuccessful, and we find that we must reduce our workforce to ensure the financial stability of the company. After reviewing our options, we have concluded that we must eliminate approximately 100 positions,” wrote Choi.

Choi then shared the timeline of reduction in force, which will be a month after the letter was dated.

“It is with deepest regret that I inform you that some of your position (sic) will be eliminated effective May 24, 2025. Within the next week, a representative from human resources will contact you to schedule for your exit interview. During this meeting you will learn about available separation benefits.”

Choi said over the last several months, PIC Saipan experienced financial difficulties due to lack of business in the industry. He, however, offered a ray of hope for the hotel’s employees.

“We are diligently working with all stakeholders in the CNMI to improve our tourism and hotel industry. Please know that we greatly appreciate the contributions you have made during your time at PIC Saipan and hope to see you back when our business situation improves.”

Hotel Association of the Northern Mariana Islands, which PIC Saipan is a member, reported 28.57% average occupancy rate among 11 member hotels for March 2025, 18% lower than 34.98% in March 2024.

A deeper look on the March numbers indicates that a total of 18,587 of 65,062 available room nights sold last month compared to 26,205 of 74,906 available rooms sold in March 2024. The average room rate was $112.81 in March 2025 compared to $118.89 in March 2024.

The March 2025 figures exclude the former 315-room Hyatt Regency Saipan—now Marianas Beach Resort—reported in 2024.

PIC Saipan laying off staff comes in the heels of Kensington Hotel Saipan, its sister hotel under the E-Land Group, announcing that will be closing temporarily from June 9 to July 6, 2025.

The notice was posted in the San Roque hotel’s website https://www.kensingtonsaipan.com/en/notice-temporary-closure-of-kensington-hotel-saipan/.

“To provide a safer and more pleasant environment for our valued guests, Kensington Hotel Saipan will undergo a temporary closure for comprehensive facility inspections and environmental improvements during the following period: June 9 (Mon) – July 6 (Sun), 2025 (Scheduled to reopen on July 7 (Mon), 2025),” the notice read.

Kensington Hotel said guests with existing reservations during this period are eligible for free cancellations, and separate guidance will be provided through the respective booking channels.

“We kindly ask for your understanding and look forward to welcoming you back with enhanced services,” the notice concluded.

Last year, PIC Saipan also temporarily closed its water park and rooms from Nov. 7 to 30, 2024.

Story by Mark Rabago