Reports indicate that 3,700 casino workers in Detroit are on strike in the city’s three gaming venues. The Detroit City Council called them for a meeting on October 24 and later voted to back the ongoing casino strike.
The council made the unanimous vote while resolving to endorse the workers’ calls for improved working conditions and better wages. Its resolution stated that the council advocates for fairness in all workplaces.
Besides, it acknowledges that workers need a reasonable wage, sufficient workplace protection, and respect.
Union members left their various workstations at the Hollywood Casino at Greektown, MotorCity Casino Hotel, and the MGM Grand on October 17. This came after the three casinos failed to create a new contract with the staff.
Even so, the casinos are still operating but have reduced their gaming choices. Some of the striking employees include beverage and food servers, valets, table game dealers, engineers, and housekeepers.
Their strike is ongoing while unionized restaurant and hotel workers in Vegas are plotting their strike. They will start seeking the public’s support this week.
Yet, the current labor actions in the country’s casino industry show that the labor unions’ bargaining power is on the rise. Autoworkers and Hollywood actors are also striking now.
Did Casino Workers Press the Detroit Casino Council?
A Detroit News report states that over 700 casino employees attended the council’s meeting to back their resolution. It represents the Michigan Regional Council of Carpenters, Operating Engineers Local 324, UNITE HERE Local 24, Teamsters Local 1038, and the United Auto Workers.
The striking workers disclosed that they agreed to the three-year contract’s concessions they made with the gaming operators in 2020 to enable them to recover from the global pandemic’s adverse economic impact. But they have only received a 3 percent pay raise since then despite Detroit having a high inflation rate and its casinos generating high gross gaming revenue.
The workers’ unions claim that gaming operators in Detroit don’t offer retirement benefits, job security, and health care. Instead, they are reducing employment levels, thus increasing the remaining employees’ workload.
Councilman Coleman A. Young II stated in the meeting that the operators ought to pay the workers’ wages since their companies are thriving. He added that the employees’ families depend on what casinos pay them. Detroit News reported that Young II stated that this is the council’s appropriate time to show its solidarity with casino workers.
Detroit Gets Gaming Taxes from the Casinos
Gaming is a major source of betting revenue and taxes for Detroit. Therefore, the ongoing standoff between the operators and their staff is reducing the city’s revenue.
Moreover, the workers pay income taxes. Casino analysts predict that the city’s in-person gaming revenue in the current fiscal year will increase to $158.5 million, while online gaming is expected to rake in $89.8 million.
The city’s CFO office stated that the City Council and Mayor have collaborated for a long time to form a financial resilience-based fiscal plan. It will help the city adjust to short-term revenue disruptions.
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