Union leaders in New Jersey have criticized casinos’ decisions to lay off thousands of workers despite the fact most of these companies are eligible for financial stimulus and help from the government.
Unions and Casino Workers Unhappy with Layoffs
With the casino stock battered by the nation-wide lockdown, casino companies will be entitled to a federal stimulus that would help them claim a portion of the $425 billion prepared in corporate loans.
Furthermore, casinos could qualify for employee retention tax credits, helping them to cushion the financial costs of keeping employees on despite the inherent financial challenges that this entails.
However, unions haven’t been happy with developments so far, with some 26,450 employees already laid off in Atlantic City. Bob McDevitt, president of Unite Here Local 54, who represents the 16,000 Atlantic City workers who were laid off last week, spoke against about casinos, arguing that they had abandoned workers and “put them in the poorhouse.”
Mr. McDevitt sentiment was shared among other union members and leaders who have also suffered as a result of the massive layoffs. Unite Here published a statement in which it said that the casinos evidently had the ability to get government loans and other financial stimulus, but they were reluctant to keep workers on the payroll.
Casino Association in New Jersey Happy with Financial Stimulus
D. Taylor, president of Unite Here, was adamant that all that casino cared about was not retaining workers, but how to get the money and “send them to banks and lenders.”. The Casino Association of New Jersey was reportedly content with the government-offered help, but it has avoided communicating with the unions, thus adding to their chagrin.
Steve Callender of the Casino Association said that casinos in Atlantic City were thankful for the stimulus. Mr. Callender further stated that casinos in the Garden State were currently assessing their options in a bid to find a positive outcome for their operations and the thousands of employees that rely on them for their livelihood.
States have been adopting different approaches in trying to restore their economies. Nevada, which is overly-dependent on its gaming revenue, will remain on lockdown for two months through April 30, with the possibility to extend the measure further, Gov. Steve Sisolak has confirmed.
Nevada Sees Construction and Sports as a Way out of the Pandemic
Addressing the pandemic, the Silver State has been adapting to new realities. Nevada has construction to fallback on, though. The construction of new properties is one of the solutions and will continue although with some delays applying.
Antoher measure that Las Vegas and Nevada rely on is the return of sports. Visitors Authority President and CEO Steve Hill has been among the individuals to collaborate the opinion that sports will be “a big driver,” citing professional sports such as UFC, football and hockey as key.
The Las Vegas Raiders are also planning a new home facility, the Allegiant Stadium, which is one of the most significant construction projects on the map presently, but it might as well suffer delays. Some sportsbooks are trying to stay open, with William Hill taking advantage of all possible wagers at the time being.
Last week, Nevada voted and approved betting on electronic sports, allowing sports and video games fans to bet on two popular esports, Counter-Strike: Global Offensive and Dota 2.
The Nevada Gaming Control Board cautioned however that the risk profile of electronic sports is much different than what traditional sports fans have grown accustomed to.