US casino employees request assurances of job security.
During the fight against the Covid-19 pandemic, several prominent US gambling companies have sent their staff on vacation. Two such examples are Penn National Gaming and Caesars Entertainment. Thousands of these employees, who are members of the Culinary Workers Union, are now demanding job security after reopening. But what about non-union members?
Prioritizing Job Protection
The global Covid-19 shutdown has caused significant profit drops and million-dollar loss warnings in the gaming industry. However, casino employees are also at risk. This is particularly evident in the US casino market, where the American Gaming Association (AGA) estimates that 650,000 casino employees have been unable to work due to the pandemic. Many have been placed on forced leave by their employers.
The Culinary Workers Union, which has around 60,000 members in Clark County, Nevada, fears the crisis might be used to suspend existing collective bargaining agreements and make large numbers of employees redundant. This abolition of labor protection could severely affect employee morale.
The union is currently making efforts to protect jobs and ensure all employees can return to work once the crisis is over. They are also demanding full salaries during the casino shutdown period and paid sick leave. Union spokeswoman Bethany Khan has sent requests to all casino operators for immediate negotiations regarding the pandemic's impact. "The coronavirus is here in Nevada, and over the next few months, our resolve and unity will be tested," she commented in an interview with the Las Vegas Review-Journal.
Non-Members Are at Risk
Khan stressed that the union is currently working hard but cannot protect employees who are not members. The union and some employment lawyers clarified that there's currently no protection for non-unionized employees. Some employees who are not affiliated with a union have already been instructed by the companies to reapply after the crisis.
It is criticized that this creates further insecurity among workers who have been laid off. Nevada's unemployment claims have skyrocketed; over 92,000 people have applied for benefits in just one week. This is the largest percentage increase in weekly unemployment claims in over three decades.
Layoffs at Caesars
Temporary layoffs are seen by the industry as a strategy to manage the pandemic. Casino game developer IGT has already furloughed 2,300 employees, while PNG (Penn National Gaming) announced furloughs for around 26,000 employees. Scientific Games and Churchill Downs Inc. also have furloughed workers, and Caesars Entertainment plans to lay off the majority of its US workforce. Caesars employs over 64,000 people in total, with seven resorts in Las Vegas and multiple other US establishments.
CEO Tony Rodio, who reported a $1.2 billion loss at the end of February, claims most employees can expect to be reinstated after the crisis. However, compulsory redundancies will also occur. Rodio continues, "In light of our property closures, we are taking difficult but necessary steps to protect the company's financial position and ability to recover, and to reopen when circumstances allow us to do so. We will then welcome our guests and employees back to our properties."
AGA Seeks a Rescue Package
Despite its strong operating performance before the pandemic, Caesars announced drastic measures, mainly due to extended regulations until at least the end of April. The USA has over 370,000 infections and is now considered the epicenter of the pandemic.
The AGA requested a rescue package before the national congress at the beginning of this month, asking to stabilize the $260 billion industry. Miller estimates that 60% of US casino employees are affected by the shutdown. The gaming industry has come to a standstill.
However, it's uncertain whether the final rescue package will meet the AGA's requirements. Recent news indicates that smaller casinos will be excluded from the coronavirus financial aid package. The industry association vehemently criticizes these "discriminatory regulations", stating they undermine the US Congress's intended purpose.
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Source: www.onlinecasinosdeutschland.com
