Former Mirage Employee Sues Union over Severance Dispute

Earlier this year, one of the most recognizable casino resorts in Las Vegas, The Mirage, permanently closed its doors to visitors. The closure was required for the redevelopment of the site required for the construction of the new Hard Rock Hotel and Casino in Sin City.

The closure of the Mirage in July affected thousands of workers and a newly released report suggests that one of the former workers filed a lawsuit against Culinary Local 226, a union that represents tens of thousands of hospitality workers across Nevada.

Allegations About Misinformation, Denial of Access and Super Seniority

As announced by the Las Vegas Review-Journal, citing information from the National Labor Relations Board, a former Mirage employee filed a legal claim against the aforementioned union last month. The former worker alleged that Mirage employees were not properly informed about the administration of the severance package after the closure of the iconic property.

Besides allegations over the duty of representation, the lawsuit claimed denial of access and super seniority. The lawsuit named Culinary Local 226 as the defendant. The plaintiff informed Mirage about the lawsuit, confirming that they are not subject to the legal claim but may have to provide relevant information regarding the charges.

“During the past six months, the above-named labor organization, through its officers, agents and representatives has restrained and coerced employees in the exercise of the rights guaranteed in Section 7 of the National Labor Relations Act, by its actions, including, but not limited to: refusing and (sic) accept the grievances of its bargaining unit employees concerning their status as employees and the closing of the Mirage Hotel and Casino for arbitrary, discriminatory or in bad faith,“

reads the lawsuit filed against Culinary Local 226

The Former Workers Faced Two Different Compensation Options

Ahead of the closure of The Mirage earlier this year on July 17, the Culinary Union provided vital support for affected workers. The affected employees were presented with two options. The first one enabled them to benefit from a $2,000 compensation for every year of work along with six months of pension and medical insurance. However, under this option, the workers would not get automatically rehired at Hard Rock Las Vegas which is expected to open in 2027.

The second option offered compensation that wasn’t as attractive, but its main benefit was guaranteed rehiring upon completion of the redevelopment of the hotel and casino resort.

More than 3,000 workers in total were affected by The Mirage closure. Out of that total, approximately 1,700 were represented by the Union.