A pending labor strike of casino workers in Atlantic City could cost local gambling properties as much as $1 million in damages each.
According to the Labor union Unite Here Local 54, Caesars Entertainment and MGM would lose out on earnings should the strike take place as expected.
Members of this union provide services to Atlantic City casinos in the line of cleaning. These include Caesars, Harrah’s and Tropicana Casinos, all owned by Caesars Entertainment.
Workers at the five affected casinos all voted overwhelmingly in favor of striking.
The strike is expected to cause major disruption in casino operations. Customer service is expected to decrease, along with hotel occupancy. Food and beverage services will also be affected.
The timing of the strike – scheduled for July 1st – is not coincidental. Independence Day vacation (July 4th) usually sees higher occupancy at casinos and hotels, and a strike will have a greater impact on operations.
Atlantic City properties contribute significantly (over 15%) to Caesars’ earnings, and a loss of $1 million per day will make a major impact on the casino group.
The last strike by Unite Here was recorded in 2004, and the industry is keen to avoid reaching another one.
Very strict quarantine and travel restrictions have seen the COVID-19 pandemic under control in the Chinese gambling enclave of Macau.
In recent months, with coronavirus numbers down, casinos have been trying to get back to business-as-usual, although it is clear that it will take a number of years before they reach pre-pandemic numbers.
Unfortunately, with a new outbreak recently reported, health authorities in the region are mulling the return of stricter restrictions. Many believe that it’s only a matter of time before casinos will be shut once more. Even if not, the tough travel restrictions mean that there are almost no visitors to the region.
Analysts are predicting that gross gaming revenues (GGR) could reach zero within a few short weeks, a fact which will obviously negatively impact operators.
One of the greatest concerns for operators is their liquidity status. For a casino to make it through the retendering process Macau, officials require that they have $625 million in net assets set aside within its concessionaries.
Some operators such as Wynn and MGM have around two years in liquidity, however operators such as Sands and SJM have liquidity that won’t last longer than March next year.
The market is watching Macau closely as the situation could impact share prices in some of the biggest brands in the business.
Lithuania’s Budget and Finance Committee has asked parliament to vote to change the current lottery age restriction from 16 to 18 years of age.
A draft decree has already been drawn up, which also covers lottery advertising.
Olifeja, the state-approved lottery operator in the Baltic country, will be requested to publish notifications relating to age ranges on its weekly lottery draws. It will also be required to display safe gambling warnings.
Lithuania’s lottery is under the auspices of the country’s Gaming Control Authority. Most of the funds raised are directed to the National Olympic Committee.
Tough Gambling Age Restriction Laws
Two years ago, significant changes were made to Lithuania’s gambling laws.
As a result, the country has some of the toughest age restrictions in Europe, with players needing to be at least 21 years of age before they can play in a casino.
The new age lottery restrictions will bring things in line with the current restrictions.
Current Gambling Laws in Lithuania
– The Gaming Control Authority was asked by the government to ban all licensed operators from promoting gambling incentives such as bonuses and reward programs.
– The authority has the power to block unlicensed operators and to issue large fines to operators who are not compliant with the country’s gambling laws.
Carnival Corporation and BetMGM announced last week that sports betting options will be offered to passengers on over 50 US-based cruise ships.
Passengers will be able to bet on their favorite sports while out to sea, unless they are docked in states which allow legal sports betting.
Betting can be done at physical kiosks which will be on board the ship, or via mobile apps.
This is not the first time that cruise ships offer sports betting. Last year, Princess Cruises started offering this option for its passengers.
According to the chief executive officer of BetMGM, Adam Greenblatt, the company has found an “ideal partner” in Carnival Corporation and looks forward to providing its sports betting and igaming products to the millions of passengers who take cruises each year.
“This is another great opportunity for us to further expand BetMGM’s footprint,” he said.
Adding his comments was the SVP of Global Casino Operations for Carnival Corporations, Marty Goldman who said that the company was very proud to be able to deliver the excitement and engagement of sports betting and igaming to its guests through its partnership with BetMGM.
“Our two leading global hospitality organizations will provide a wide array of immersive digital content as a complement to our exceptional shipboard casinos,” he said.
Fed up with local casinos breaking gaming regulations, the government of Queensland has decided to take a hard line against Australian companies such as Star Entertainment and Crown Resorts.
The government will be introducing sweeping new reforms through its Casino Control Amendment Bill, that could issue fines of up to $50 million to casinos found guilty of violating the law.
Queensland Attorney General, Shannon Fentiman said that the new laws aim to reduce the risk of criminal activity of casino groups within the industry.
The government also plans to move towards cashless gambling in a bid to control money laundering.
The bill gives the government permission to demand that casinos hand over information, even data that is deemed “privileged”.
The reforms come after a string of high-level charges against both Star Entertainment and Crown Resorts, which has left a bad taste in the mouth of the industry.
Star Entertainment has been accused of supporting money laundering at its Queensland casinos, and both groups have been the subject of inquiries in several Australian states.
While Queensland hasn’t opened its own inquiry into the casino operations, it has been monitoring the cases in other states, and has decided to introduce the reforms as soon as possible.
The authority confirmed that the new laws will be enacted before Star’s new Queen’s Wharf project opens in the state.