Some corporations within the Pittsburgh space that obtain PPP loans have closed or laid off workers

When former President Trump and Congress launched the Paycheck Protection Program last year, they promised to save thousands of jobs. In many cases this has been the case. However, Action News Investigates learned that the billion dollar program was not enough to prevent some companies in the Pittsburgh area from closing or laying off hundreds of employees. You can find the full report in the video player above. Kathy Berry-Wade worked at the Monroeville Shop ‘n Save for two years before losing her job when the shop closed in August. Now she said she was trying to survive from unemployment with two children and a disabled husband. “It’s a fight. In April, store owner CCM Foods received a Paycheck Protection Program loan of $ 240,717. In August, the store closed, costing 51 people their jobs. Kathy and other employees said they had no severance payment. Kathy.” said she was only given a $ 50 gift card and I’ll see you later. Former bakery manager Karrie Thomas also struggled after she lost her job. It was extremely stressful using plasma to pay for groceries, “she said . In a statement, Leonard Nossokoff of CCM Foods said: “We did everything we were contractually obliged to do” with the loan in the Monroeville business. The Small Business Administration requires companies to spend 60% of the Paycheck Protection Program funds on payroll in order for the loan to be issued. CCM Foods wouldn’t say if its loan was approved. At a press conference in April, Mr. Trump made his goals for the program clear. “Last month I asked Congress to pass the Paycheck Protection Program, which provides emergency economic aid to small businesses to keep workers on the payroll,” he said. On March 24, 349 workers were laid off at the Omni William Penn in Pittsburgh. On April 5, the hotel was approved for a paycheck protection program loan of $ 3.56 million. An Omni spokesman said more than $ 2 million A spokesman for Unite Here, the union that represents most of Omni workers, said only 16 of its 261 members at the hotel were called back to work from April 27 to June 12 then they were released. The William Penn also employed a small number of maintenance and security workers. Ernst Contasta, a laid-off waiter and kidney transplant recipient, said he was struggling to pay for health insurance. “It is very important that I have medical care in order to maintain the success of the transplant that I have. Without health care, I could lose my organ,” he said. The laid-off employee Will Arthur said he was forced to quit his health insurance “I have a house, I have bills, I have loans and they don’t quit just because you’re unemployed,” Arthur said. US Senator Bob Casey, D-Pennsylvania, said the federal government dropped the ball in creating protections for workers in companies receiving Paycheck Protection Program loans. “There is no question that it isn’t There is nearly enough oversight, and that is a shortage from Congress, “Casey said.” The SBA needs to find a way to not only expose the problem but also to help those who have been adversely affected because the government has not done so “I do my job,” he said. The director of the SBA’s Pittsburgh office did not respond to specific questions about Paycheck Protection Program loan recipients. However, she said that anyone with concerns about a Paycheck Protection Program loan should should contact the Agency’s Inspector General, who can be reached here: https://www.sba.gov/about-sba/oversight-advocacy/office-inspector-general/offi ce-inspector-general-hotline

MONROEVILLE, Pa. –

When former President Trump and Congress launched the Paycheck Protection Program last year, they promised to save thousands of jobs.

In many cases it was. However, Action News Investigates learned that the billion dollar program was not enough to prevent some companies in the Pittsburgh area from closing or laying off hundreds of employees.

Check out the full report in the video player above.

Kathy Berry-Wade worked at the Monroeville Shop ‘n Save for two years before losing her job when the store closed in August.

Now she said she was trying to survive from unemployment with two children and a disabled husband.

“It’s a fight,” she said.

In April, store owner CCM Foods received a Paycheck Protection Program loan of $ 240,717.

The shop closed in August and cost 51 employees their jobs. Kathy and other employees said they did not receive any severance pay.

Kathy said all she received was “a $ 50 gift card and see you later”.

Former bakery manager Karrie Thomas also struggled after losing her job.

“It was extremely stressful. I donated plasma to pay for food,” she said.

In a statement, Leonard Nossokoff of CCM Foods said: “We did everything we were contractually obliged to do,” with the loan in the Monroeville business.

The Small Business Administration requires companies to spend 60% of Paycheck Protection Program funds on payroll costs in order for the loan to be granted. CCM Foods wouldn’t say if its loan was approved.

At a press conference in April, Mr. Trump made his goals for the program clear.

“Last month, I asked Congress to pass the Paycheck Protection Program, which provides emergency economic aid to small businesses to keep workers on payroll,” he said.

At the Omni William Penn in Pittsburgh, 349 workers were laid off on March 24. On April 5, the hotel was approved for a Paycheck Protection Program loan of $ 3.56 million.

An Omni spokesman said more than $ 2 million was spent on payroll, with a significant portion benefiting the unionized workers.

However, a spokesman for Unite Here, the union that represents most of Omni workers, said only 16 of the hotel’s 261 members were called back to work between April 27 and June 12 and then fired.

The William Penn also employed a small number of maintenance and security workers.

Ernest Contasta, a laid-off waiter and kidney transplant recipient, said he was struggling to pay for health insurance.

“It is very important that I have medical care to keep the successful transplant I have. Without medical care, I could lose my organ,” he said.

The laid-off employee Will Arthur said he was forced to cancel his health insurance.

“I have a house, I have bills, I have loans and they don’t stop because you’re unemployed,” said Arthur.

US Senator Bob Casey, D-Pennsylvania, said the federal government has dropped the ball when it comes to creating protections for workers in companies receiving Paycheck Protection Program loans.

“No question about it, there isn’t nearly enough oversight, and that’s a shortcoming from Congress,” Casey said.

“The SBA needs to find a way not only to expose the problem but also to provide assistance to those who have been compromised because the government has not done its job,” he said.

The head of the SBA’s Pittsburgh office would not answer specific questions about the beneficiaries of the Paycheck Protection Program loan. However, she said anyone who has concerns about a paycheck protection program loan should speak to the agency’s inspector general. This office can be reached here: https://www.sba.gov/about-sba/oversight-advocacy/office-inspector-general/office-inspector-general-hotline