Veikkaus to close 20 venues and looks to cut 200 jobs
Veikkaus, which turned six years old earlier this year, is undergoing major changes in preparation for ending its monopoly in the country. One notable development is the closure of the Tampere Casino, less than two years after it opened.
The decision is scheduled to close on December 9 and will affect 80 employees associated with the casino. In addition to closing the Tampere casino, Veikkaus plans to cease operations at 19 of its 65 gaming venues across Finland on December 22, including those operating under the Playhouse and Turku brands.
As many as 215 jobs could be gone by the end of the year. An additional 110-150 of Veikkaus' 825 employees may experience unspecified changes in their employment status. The decision to close the venues is part of a wider restructuring plan launched by Vicos several months ago.
In September, the gambling operator announced its intention to finalize the plans.
Inappropriate holiday time
That's better than Veikkaus' previous statement, which suggested "anticipated layoffs" of up to 240 positions, with another 195 employees facing changes to their job structure.
Veikkaus did not explain how the transition of laid-off employees would be handled. While new opportunities will emerge as the country's gambling regime changes, they won't be immediately available.
Veikkaus' proactive approach to these adjustments reflects a recognition of Finland's changing gambling landscape, which is the end of its monopolistic approach. The operator is taking the necessary steps to adapt and manage the changing dynamics of the gaming industry to ensure its continued relevance in the face of emerging market changes.
The end of an era
Veikkaus is expected to lose its long-held monopoly on the country's gambling industry by 2026. This shift is due to legislative changes aimed at modernizing and opening up the Finnish gambling market. It is also the result of recognizing that monopoly is a failed system that leads to significant financial losses and reductions in consumer protection.
The government is planning to introduce a new licensing system that would allow other operators besides Veikkaus to enter the market. The changes are designed to improve consumer protection, promote responsible gambling behavior and address issues related to gambling addiction.
The government hopes to provide Finnish consumers with a better gaming experience by introducing a more competitive environment. It is expected to offer a wider range of gambling options while maintaining regulatory oversight to ensure a fair and safe environment.
The changes to the law represent a significant departure from the previous monopoly model, allowing private operators to participate in the Finnish gambling market. These changes are also consistent with broader trends in Europe. Some countries have adapted their regulatory frameworks to adapt to changing industry dynamics and enable a more diverse and competitive gaming landscape.
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Source: www.casino.org
