The last strike was in 1984. It lasted 67 days, cost workers $75 million in wages, and casinos far more than that.
50,000 Las Vegas casino workers plan a May 22 on whether to go on strike at the end of the month. If the Culinary Union Local 226 workers vote to strike, it would bring the Las Vegas hotel and restaurant industry to a halt for the length of the strike.
The Culinary Union plans a vote of all members at an UNLV university arena near the Las Vegas Strip for May 22. If the majority vote to strike, then the Culinary Union could call a strike anytime between May 22 and June 1.
The vote is planned before the Culinary Union contract ends on May 31. The union wants a new 5-year contract, but negotiations have stalled in the past weeks and months. The Culinary Union negotiators want to be armed with the threat of the strike in order to force a successful end to negotiations.
Workers “Not Going to Be Left Behind”
Geoconda Arguello-Kline, the secretary-treasure of the Culinary Union Local 226, said of the upcoming vote, “On May 22, thousands of union members will show casino employers that workers are going to fight for security and that they are not going to be left behind as companies are making record profits and getting windfall tax break.”
The strike would cost 34 casino-resorts on the Vegas Strip and downtown Las Vegas workers in several key areas: kitchen employees, cocktail waiters, food service staff, and housekeepers. While the casino floor space could continue operation, the casinos would be without a wait staff. Restaurants and hotel service would be virtually nonexistent.
Panic Button for Hotel Housekeepers
Arguello-Kline to US News that the union wants to maintain health and pension benefits, while negotiating against technology which could cost workers jobs. The union also wants a “panic button” device for housekeepers, so they can push a button if they find themselves in trouble while inside guests’ rooms. Sexual harassment protocols inspired by the “Me Too” movement also are on the agenda.
The Culinary Union representative describe the workers’ wish list as such: “Protect existing benefits, increase wages, protect job security against the increasing adoption of technology at hotel-casinos, and to strengthen language against sexual harassment.”
No “Jobs for Robots”
Workers appear concerned that money from new corporate tax breaks will be used to invest in automated technology that will cost jobs. For instance, in the Carrier plant story of 2016-17, the state of Indiana offered Carrier $7 million in tax breaks to save a thousand plant workers jobs from being sent to Mexico. A few months later, Carrier’s executives announced they would invest millions of dollars in automation, which would cost hundreds of the plant workers their jobs. The union wants assurances in their 5-year contract that casinos would not invest in technology that would make their jobs redundant.
Carlos Martinez, who works in the pantry of the Mirage casino-resort, owned by MGM Resorts, said he would vote for a strike on May 22. Martinez said he would vote “Yes”, because he wanted assurances The Mirage would not outsource casino “jobs to robots”.
“Technology can be assistive in the workplace, but workers should have a voice in that and additional job training. The company needs to invest in human capital and treat us with dignity.”
Confident in Labor Deal
Decision makers on both sides maintain they will have a deal by the end of the month. Caesars Entertainment and MGM Resorts own roughly half of the casino-resorts involved in the negotiation and both casino companies have a solid reputation of working with labor.
The last time a strike happened in Las Vegas was 1984. The ’84 strike last 67 days and cost workers $75 million in wages. The casino companies lost a commensurate amount in tourism revenue. The casino revenues declined significantly at the same time.
Casino Company Statements on Labor Negotiations
Richard Broome, Caesars Entertainment’s EVC of Communications and Government Relations, said the two groups of negotations “will achieve a good settlement before the current contract expires at the end of this month.”
When the strike vote was announced today, MGM Resorts said in a press release, “MGM Resorts and the Culinary and Bartenders Unions have always been great partners. We have issues to address, but we’re confident we will find mutually beneficial solutions to all our contract issues.”
2018 World Series of Poker
The timing of a strike would be particularly troublesome, as the beginning of June is a peak time for Las Vegas tourism. Not only is it the beginning of the summer vacation season, but it is also the beginning of the 2018 World Series of Poker. For 6 weeks starting in early June, most of the world’s top poker professionals join with thousands of amateur cardplayers in a series of 70-odd poker events.
Throughout that time, Las Vegas casino-hotels fill with poker players in town for the biggest Texas Hold’em and other poker events all year. Losing access to the hotel rooms in 34 resorts would put the Las Vegas hotel room industry in a major crunch.
