FOR IMMEDIATE RELEASE—October 17, 2023
Contact: Meghan Cohorst, 239-503-1533, [email protected];
Annemarie Strassel, 312-617-0495, [email protected]
Workers made sacrifices to keep the industry afloat amidst the pandemic, call for their fair share as industry booms
DETROIT—Thousands of union casino workers are on strike today after months of full-table negotiations and meetings by department failed to result in a deal with the city’s three casinos. The workers, represented by the Detroit Casino Council (DCC), are seeking contract improvements after years of pandemic hardship, but casino management remains unwilling to deliver a fair contract for workers.
The union worked all night to prepare revised proposals in the hopes of averting a strike. The companies came back with a final proposal late Tuesday morning that the unions rejected based on five core concerns that the companies’ offer failed to meet, including protecting healthcare, winning job security/technology language that already exists in other casino markets, improving the value of retirement where there has been no increase in eight years, reducing the high workloads that have resulted from 1500 fewer jobs post pandemic, and securing significant wage increases to make up for the ones workers sacrificed during the pandemic.
The strike has a wall-to-wall impact on operations at the MGM Grand Detroit, MotorCity Casino, and Hollywood Casino at Greektown, involving 3,700 workers employed in positions throughout the properties including dealers, cleaning staff, food and beverage workers, valets, engineers and more.
“Making the decision to strike is never easy, but it’s past time for the workers who keep Detroit’s casinos running to get their fair share,” said Nia Winston, President of UNITE HERE Local 24, the union of hospitality workers in Detroit. “The city’s big three casino operators are earning more than ever, and we’re prepared to stay out on strike until we get what we deserve.”
“The company is offering us nickels and dimes, and they want us to pay more for healthcare,” says Terri Sykes, a dealer at MotorCity Casino with 24 years of service and President of UAW Local 7777. “As a two-time breast cancer survivor, I’m fighting to protect our health care. These companies are making more than ever, and it’s time they respect us for all the sacrifices we made to keep the doors open during the pandemic.”
“I’m a mother of two and will welcome my third child by the end of the year. I’m willing to go on strike to fight for what my family and I need,” said Shataya Thompson, a valet cashier at MotorCity Casino and member of Teamsters Local 1038. “We need a fair contract that guarantees good wages that keep up with inflation and also protects our healthcare.”
“There are 1,500 fewer people working in Detroit casinos, but there is the same amount of work to do. I can’t always take a lunch break or enjoy my hard-earned vacation time,” said Milledge McCaster, a 14-year Lead Engineer at Hollywood Casino at Greektown and member of Operating Engineers Local 324. “During the pandemic, we made sacrifices to help the industry, but now that they are making more money than ever, they’ve forgotten that.”
“We are fighting from Detroit to Vegas, from Biloxi to Pennsylvania ,to raise wages and standards for casino workers,” said Gwen Mills, Secretary-Treasurer of UNITE HERE International Union, the union of North American hospitality workers. “Hospitality workers overall across the US and Canada kept the doors open during the pandemic, risking their health and forgoing raises. Now they are striking in Detroit, Los Angeles and Vancouver, along with hundreds of thousands of other workers from other industries, demanding a share in the prosperity that the hospitality industry is currently experiencing.”
Detroit’s casino workers sacrificed raises and shouldered heavier workloads so the industry could recover from the pandemic. In September 2020, workers agreed to a three-year contract extension with minimal wage increases to help the industry get back on its feet. Since then, Detroit casino workers have received only 3% raises, but inflation in Detroit has risen 20%.
In contrast, industry gaming revenues have now surpassed pre-pandemic levels to reach a new record high. In 2022, the Detroit casino industry generated $2.27 billion in gaming revenue and is on track for another record-breaking year in 2023. The three Detroit casinos collectively reported $813 million more in total gaming revenues in 2022 than in 2019, but total wages paid to workers represented by the DCC were $34 million less when comparing those same years.
According to a report released by the DCC on Monday, each day of a strike could put approximately $738,000 in city and state tax revenues and $3.4 million in casino operator revenues at risk. For the City of Detroit, this wagering tax is a critical source of revenue used to fund job creation, public safety, economic development, and youth development programs. In 2022, the wagering tax was the City’s second highest revenue source, even surpassing property taxes.
###
The Detroit Casino Council (DCC) is UNITE HERE Local 24, the UAW, Teamsters Local 1038, Operating Engineers Local 324, and the Michigan Regional Council of Carpenters. These five unions represent most of the workers at the three casinos in Detroit: Hollywood Casino at Greektown, MGM Grand Detroit, and MotorCity Casino. Our members work in food and beverage, housekeeping, retail outlets, slots and table games, engineering and more. The DCC partner unions are part of International Unions that have experience representing gaming workers and winning great contracts throughout the United States, including in Las Vegas and Atlantic City.
On the Line October 22, 2023
We made front page news for the third day in a row!
Click here to read the whole story.
On the Line Day 3
Casino Workers On Strike
We sacrificed our raises and our safety during COVID in order to keep the casinos open.
We thought we were making a deal: if we tightened our belts when times were hard for the companies during COVID, we would then share in the prosperity when business came back.
There was no deal. We now have to stand up and reset the relationship between us and the companies.
WE HAVE FIVE ISSUES:
Detroit casino workers need a raise AND a job that respects our health, our future and once again allows us to be proud to work at Detroit’s casinos.
Detroit Casino Workers Strike After Casinos Play Hardball on Wages, Healthcare
FOR IMMEDIATE RELEASE—October 17, 2023
Contact: Meghan Cohorst, 239-503-1533, [email protected];
Annemarie Strassel, 312-617-0495, [email protected]
Workers made sacrifices to keep the industry afloat amidst the pandemic, call for their fair share as industry booms
DETROIT—Thousands of union casino workers are on strike today after months of full-table negotiations and meetings by department failed to result in a deal with the city’s three casinos. The workers, represented by the Detroit Casino Council (DCC), are seeking contract improvements after years of pandemic hardship, but casino management remains unwilling to deliver a fair contract for workers.
The union worked all night to prepare revised proposals in the hopes of averting a strike. The companies came back with a final proposal late Tuesday morning that the unions rejected based on five core concerns that the companies’ offer failed to meet, including protecting healthcare, winning job security/technology language that already exists in other casino markets, improving the value of retirement where there has been no increase in eight years, reducing the high workloads that have resulted from 1500 fewer jobs post pandemic, and securing significant wage increases to make up for the ones workers sacrificed during the pandemic.
The strike has a wall-to-wall impact on operations at the MGM Grand Detroit, MotorCity Casino, and Hollywood Casino at Greektown, involving 3,700 workers employed in positions throughout the properties including dealers, cleaning staff, food and beverage workers, valets, engineers and more.
“Making the decision to strike is never easy, but it’s past time for the workers who keep Detroit’s casinos running to get their fair share,” said Nia Winston, President of UNITE HERE Local 24, the union of hospitality workers in Detroit. “The city’s big three casino operators are earning more than ever, and we’re prepared to stay out on strike until we get what we deserve.”
“The company is offering us nickels and dimes, and they want us to pay more for healthcare,” says Terri Sykes, a dealer at MotorCity Casino with 24 years of service and President of UAW Local 7777. “As a two-time breast cancer survivor, I’m fighting to protect our health care. These companies are making more than ever, and it’s time they respect us for all the sacrifices we made to keep the doors open during the pandemic.”
“I’m a mother of two and will welcome my third child by the end of the year. I’m willing to go on strike to fight for what my family and I need,” said Shataya Thompson, a valet cashier at MotorCity Casino and member of Teamsters Local 1038. “We need a fair contract that guarantees good wages that keep up with inflation and also protects our healthcare.”
“There are 1,500 fewer people working in Detroit casinos, but there is the same amount of work to do. I can’t always take a lunch break or enjoy my hard-earned vacation time,” said Milledge McCaster, a 14-year Lead Engineer at Hollywood Casino at Greektown and member of Operating Engineers Local 324. “During the pandemic, we made sacrifices to help the industry, but now that they are making more money than ever, they’ve forgotten that.”
“We are fighting from Detroit to Vegas, from Biloxi to Pennsylvania ,to raise wages and standards for casino workers,” said Gwen Mills, Secretary-Treasurer of UNITE HERE International Union, the union of North American hospitality workers. “Hospitality workers overall across the US and Canada kept the doors open during the pandemic, risking their health and forgoing raises. Now they are striking in Detroit, Los Angeles and Vancouver, along with hundreds of thousands of other workers from other industries, demanding a share in the prosperity that the hospitality industry is currently experiencing.”
Detroit’s casino workers sacrificed raises and shouldered heavier workloads so the industry could recover from the pandemic. In September 2020, workers agreed to a three-year contract extension with minimal wage increases to help the industry get back on its feet. Since then, Detroit casino workers have received only 3% raises, but inflation in Detroit has risen 20%.
In contrast, industry gaming revenues have now surpassed pre-pandemic levels to reach a new record high. In 2022, the Detroit casino industry generated $2.27 billion in gaming revenue and is on track for another record-breaking year in 2023. The three Detroit casinos collectively reported $813 million more in total gaming revenues in 2022 than in 2019, but total wages paid to workers represented by the DCC were $34 million less when comparing those same years.
According to a report released by the DCC on Monday, each day of a strike could put approximately $738,000 in city and state tax revenues and $3.4 million in casino operator revenues at risk. For the City of Detroit, this wagering tax is a critical source of revenue used to fund job creation, public safety, economic development, and youth development programs. In 2022, the wagering tax was the City’s second highest revenue source, even surpassing property taxes.
###
The Detroit Casino Council (DCC) is UNITE HERE Local 24, the UAW, Teamsters Local 1038, Operating Engineers Local 324, and the Michigan Regional Council of Carpenters. These five unions represent most of the workers at the three casinos in Detroit: Hollywood Casino at Greektown, MGM Grand Detroit, and MotorCity Casino. Our members work in food and beverage, housekeeping, retail outlets, slots and table games, engineering and more. The DCC partner unions are part of International Unions that have experience representing gaming workers and winning great contracts throughout the United States, including in Las Vegas and Atlantic City.
Report: Each Day of Strike at Detroit’s Three Casinos Risks $738,000 in Tax Revenues for City and State, and $3.4M in Revenue for Casino Operators
FOR IMMEDIATE RELEASE: October 16, 2023
Annemarie Strassel, 312-617-0495, [email protected] or
Meghan Cohorst, 239-503-1533, [email protected]
Hours Before Contract Expires, Billion-Dollar Casinos Continue to Play Hardball on Worker Wages and Healthcare
Detroit’s Casino Workers Voted by 99% to Authorize a Strike
DETROIT—Unionized casino workers in Detroit are seeking contract improvements after years of pandemic hardship. However, just hours before contracts are set to expire casino management is unwilling to deliver a fair contract for workers. In a report released today, the Detroit Casino Council (DCC) estimates that, if workers are forced to strike at MGM Grand Detroit, MotorCity Casino, and Hollywood Casino at Greektown, it could put at risk approximately $738,000 in city and state tax revenues and $3.4 million in casino operator revenues per day. At-risk revenue includes:
Read the full report at https://unitehere.org/dcc-strike-impact-report/
For the City of Detroit, the wagering tax is a critical source of revenue used to fund job creation, public safety, economic development, and youth development programs. In 2022, the wagering tax was the City’s second highest revenue source, even surpassing property taxes.
The DCC has spent more than 160 hours in full-table negotiations and has held dozens of subcommittee meetings by department since the summer with a goal of reaching a deal. Still, workers and management remain far apart on wages, healthcare, retirement security, technology language, a fair workload for housekeepers and more.
“After we helped Detroit’s gaming industry get back on its feet, business is booming, but the people who make the casinos run are still struggling,” said Nia Winston, UNITE HERE Local 24 President. “Our goal is to reach a fair deal, but unfortunately, we’re still far apart. If the companies cannot do better, then we are prepared to strike.”
In 2022, the Detroit casino industry generated $2.27 billion in gaming revenue from in-person and online gaming: the highest revenue ever in Detroit’s history. Revenues were even higher during the first eight months of 2023, putting the casinos on track for another record-breaking year. In 2022, the three Detroit casinos collectively reported $813 million more in total gaming revenues than in 2019, but total wages paid to workers represented by the Detroit Casino Council at the three Detroit casinos in 2022 were $34 million less. Despite the industry’s recovery, there are now approximately 1,500 fewer union casino jobs in Detroit than before the pandemic. Since 2020, Detroit casino workers have received only 3% raises, but inflation in Detroit has risen 20%.
On September 29, workers from all unionized work groups—including food and beverage, housekeeping, retail, slots and table games, engineering and more—at all three Detroit casinos voted in a 99% landslide to authorize the Detroit Casino Council negotiating committee to call a strike.
“I want what’s best for my family,” said Shataya Thompson, a valet cashier at MotorCity Casino and member of Teamsters Local 1038 who is a mother of two with a third child on the way. “We need good wages that keep up with inflation and our healthcare. We’ve been here since the doors reopened and have gone through so much. Now, all we ask is for a fair contract.”
“The company is offering us nickels and dimes, and they want us to pay more for healthcare,” said Terri Sykes, a dealer at Motor City with 24 years of service and President of UAW Local 7777. “As a two-time breast cancer survivor, I’m fighting to protect our health care. These companies are making more than ever, and it’s time they respect us for all the sacrifices we made to keep the doors open during the pandemic.”
###
The Detroit Casino Council (DCC) is UNITE HERE Local 24, UAW, Teamsters Local 1038, Operating Engineers Local 324, and the Michigan Regional Council of Carpenters. These five unions represent most of the workers at the three casinos in Detroit: Hollywood Casino at Greektown, MGM Grand Detroit, and MotorCity Casino. Our members work in food and beverage, housekeeping, retail outlets, slots and table games, engineering and more. The DCC partner unions are part of International Unions that have experience representing gaming workers and winning great contracts throughout the United States including Las Vegas and Atlantic City.
The Detroit News: Detroit casino workers prep for possible strike as contract expiration nears
Among the workers calling for increased pay are Jamil Johnson, a 16-year employee at MGM Grand Detroit. The 52-year-old Detroit resident is a server at D.PRIME Steakhouse in the casino.
“We are the workers that made financial sacrifices and extended our contract so that the casinos could weather the storm during COVID,” Johnson said.
Johnson said he was diagnosed with COVID twice while working his job and spent three weeks in the hospital.
“The one thing though that kept me sane was the fact that our union negotiated for us substantial health care so that I would have the ability to take care of my family while being in hospital,” he said. “Unfortunately, the casinos are trying to take that away from us right now. We want economic justice and we want to maintain our current health care.”
Full story found here.
Fox 2 Detroit: Strike looms for Detroit casinos as contract with workers ends Oct. 16
“Our people are doing the jobs of two and three people,” said Nia Winston of Local 24. “And the casinos aren’t doing enough to fill the positions that they still have open because the wages are not competitive.”
That includes Shataya Thompson, who spoke through tears.
“I want what’s best for my family,” she said, saying she was thinking about her family when she was delivering remarks. “When I talk about my kids and my family, I do get emotional. It’s an emotional situation, but with the support of the DCC, and my coworkers, I can fight and keep going.”
Thompson, a wife and mother of two with a third child on the way works as a Motor City Casino Valet and cashier. She says maintaining health care is a top priority.
“Especially with going through the pandemic. Going through covid and everyday life. It’s people who have been here since the doors open, and have gone through so much, and they depend and they look for that healthcare.”
Full story found here.
Detroit Casino Council Contract Bulletin #2
Download the bulletin.
Detroit Casino Workers Vote 99% “YES” to Authorize a Strike
FOR IMMEDIATE RELEASE: September 29, 2023
Contact: Tiffany Ten Eyck, 313-515-1807, [email protected]
As they negotiate for higher wages, workers vote overwhelmingly in favor of strike authorization at all three Detroit casinos
Detroit—This evening at 09:40pm, the Detroit Casino Council announced that members from MGM Grand Detroit, Hollywood at Greektown and MotorCity casinos — voted 99% “yes” to authorize a strike, if deemed necessary by the worker negotiating committee. Workers flooded the Teamsters Hall today between 7:00am-9:00pm to cast their ballots with the results revealed shortly after the polls closed and ballots were counted.
After the COVID shutdowns, Detroit casino workers sacrificed raises and shouldered heavier workloads so the industry could recover. In September 2020, the DCC agreed to a 3-year contract extension with minimal wage increases to help their employers get back on their feet. Following the end of COVID restrictions and the legalization of online gaming, industry gaming revenues have now surpassed pre-pandemic levels to a new record high, but Detroit’s casino workers are getting left behind. Workers are hoping to win contract gains that would bring Detroit casino jobs back in line with the standard of good jobs that were promised to hospitality workers when voters approved legalizing casino gaming in 1996 and the City Council later authorized the three casinos.[i]
In 2022, the Detroit casino industry generated $2.27 billion in gaming revenue through in-person and online gaming, the highest ever in the history of the industry.[ii] So far in 2023, reports from January through August show that revenues are even higher than last year, on track for another record-breaking year.[iii]
Last month, MGM Grand Detroit’s parent company, MGM Resorts International, reported an “all-time record” for company-wide net revenues in the second quarter.[iv] In 2022, both MGM Resorts International and Hollywood at Greektown’s parent company, PENN Entertainment, reported higher revenues and profits in the US than pre-pandemic.[v] Since the pandemic, the two companies have spent heavily on stock buybacks to benefit their Wall Street shareholders, with MGM spending over $5.60 billion and PENN spending $750 million so far.[vi]
Workers have been negotiating since early September, with a focus on securing wage increases that could make Detroit’s casino jobs family-sustaining jobs once again. Other issues include strengthening retirement and securing protections for workers impacted by the implementation of new technology. The strike authorization secured in Friday’s vote puts the decision of whether and when to strike in the hands of the Detroit Casino Council (DCC) worker negotiating committee, which is made up of 5 unions that represent most of the workers at the 3 casinos: UNITE HERE Local 24, UAW, Teamsters Local 1038, Operating Engineers Local 324, and the Michigan Regional Council of Carpenters. The DCC could call for strikes as soon as mid-October when contracts expire.
“Workers are fed up in an economy that is broken: costs keep going up, but when profits came back to the gaming industry, they didn’t go into workers’ pockets. Just like auto workers, Blue Cross Blue Shield staff, UPS workers, writers, and hotel workers, Detroit casino workers are considering all options available to make sure one job in a Detroit casino is enough to raise a family on. We expect the casinos to heed our concerns to avoid a strike.” Nia Winston, UNITE HERE Local 24 President
“Detroit’s casino workers of the Detroit Casino Council voted overwhelmingly to authorize a strike today because we’re the people who worked with the companies through COVID and put in the time, energy, hard work. The casino companies are making more than their fair share. But we’re not making ours. The message our members are sending to these companies is that the casino workers at MGM Grand, MotorCity and Hollywood at Greektown are ready to stand together and fight for what we deserve. I’m proud of my coworkers for taking this step to take care of their families and enjoy their lives.” Terri Sykes, UAW Local 7777 President, MotorCity Casino table games
Members of the worker negotiating committee and union officials are available for interviews. Please contact to coordinate.
###
The Detroit Casino Council (DCC) is UNITE HERE Local 24, the UAW, Teamsters Local 1038, Operating Engineers Local 324, and the Michigan Regional Council of Carpenters. These five unions represent most of the workers at the three casinos in Detroit: Hollywood Casino at Greektown, MGM Grand Detroit, and MotorCity Casino. Our members work in food and beverage, housekeeping, retail outlets, slots and table games, engineering and more. The DCC partner unions are part of International Unions that have experience representing gaming workers and winning great contracts throughout the United States, including in Las Vegas and Atlantic City.
Notes
[i] In the May 24, 1998 Detroit Free Press, Greektown casino spokesperson Roger Martin wrote: “To suggest that casino gaming somehow harms low-income people and the underemployed is false. It ignores that Detroit’s casinos will create 11,000 high-paying permanent jobs with full benefits and 12,000 high-paying construction jobs.” Roger Martin, Tell the Truth about Casinos, Detroit Free Press, May 24, 1998.
[ii] Michigan Gaming Control Board: Revenues and Wagering Tax Information, https://www.michigan.gov/mgcb/detroit-casinos/resources/revenues-and-wagering-tax-information (last access: September 25, 2023).
[iii] From January to August 2023, revenues reached $1.57 billion. For the same months in 2022, revenue was $1.47 billion. Michigan Gaming Control Board: Revenues and Wagering Tax Information, https://www.michigan.gov/mgcb/detroit-casinos/resources/revenues-and-wagering-tax-information (last access: September 25, 2023).
[iv] MGM, MG Resorts International Reports Second Quarter 2023 Financial and Operating Results, Press Release, August 2, 2023,https://www.prnewswire.com/news-releases/mgm-resorts-international-reports-second-quarter-2023-financial-and-operating-results-301891750.html.
[v] MGM’s revenue was $9.38 billion in 2019. In 2022, the company’s reported revenue was $12.21 billion. MGM’s profit was $2.61 billion in 2019 and had increased to $4.44 billion in 2022. For MGM, these amounts for revenue and profit are the sum of the LV and Regional Segments. PENN’s revenue increased from $5.3 billion in 2019 to $6.4 billion in 2022. The company’s profit (Adjusted EBITDAR) grew from $1.61 billion in 2019 to $1.79 billion in 2022. MGM uses the measure Adjusted Property EBITDAR as “the primary profit measure for our reportable segments.” (MGM, 10-K for 2022, p. 38 and 10-K for 2021, p. 46). PENN uses the measure Adjusted EBITDAR “as its measure of segment profit or loss.” (PENN, 10-K for 2022, p. 109 and 10-K for 2021, p. 108) Sources: MGM, 10-K for 2022, https://www.sec.gov/ix?doc=/Archives/edgar/data/0000789570/000078957023000008/mgm-20221231.htm, p. 36 and p. 39. MGM, 10-K for 2021, https://www.sec.gov/ix?doc=/Archives/edgar/data/0000789570/000078957022000005/mgm-20211231.htm, p. 43 and p. 46. PENN, 10-K for 2021, https://www.sec.gov/ix?doc=/Archives/edgar/data/0000921738/000092173822000011/penn-20211231.htm, p. 35. PENN, 10-K for 2022,https://www.sec.gov/ix?doc=/Archives/edgar/data/0000921738/000092173823000010/penn-20221231.htm, p. 38.
[vi] In 2021, MGM reported for the full year $1.75 billion of stock buybacks. For 2022, the company reported $2.78 billion for repurchased stock. For 2023, MGM reported so far $1.10 billion of stock buybacks. PENN National completed stock buybacks of $750 million in Q2 2023. In December 2022, PENN was approved for another $750 million in stock buybacks. PENN, 10-Q for 2Q 2023, https://www.sec.gov/ix?doc=/Archives/edgar/data/0000921738/000092173823000025/penn-20230630.htm, p. 30. MGM, 10-K for 2022, https://www.sec.gov/ix?doc=/Archives/edgar/data/0000789570/000078957023000008/mgm-20221231.htm, p. 60. MGM, 10-Q for 2Q 2023, https://www.sec.gov/ix?doc=/Archives/edgar/data/0000789570/000078957023000019/mgm-20230630.htm, p. 4.