Las Vegas Strip Properties to Finalize Union Agreements

Summary:

• 40,000 hospitality employees will take part in the ratification votes for contracts.
• Caesars employees were 99% in favor of the new deal.
• Total compensation on offer is $2 billion over five years.

A strike has been imminent in Las Vegas as MGM Resorts International, Wynn Encore Resort, and Caesars Entertainment have discussed a new contract deal with Culinary Local 226.

A proposal has been sent in with 99% of Caesars workers voting in favor of the deal. MGM and Wynn employees are next to vote.

Tens of Thousands of Employees Vote

A total of 40,000 Las Vegas hospitality employees will vote for the five-year contracts. The deals were negotiated earlier in the month. Caesars began the vote, and so far, it seems the union members like the details of the new contract.

Culinary Union Secretary-Treasurer Ted Pappageorge said in a statement that the total compensation won by the union from the casinos is $2 billion over the total contract. The money will provide a 10% wage increase within the first year. Over the span of the contract, the total compensation increase for casino employees will reach 32%.

On average, a Culinary Union member earns $28 an hour, which includes benefits. The new contract will increase the average to $37 an hour with benefits. Also included in the deal are lower workloads, protection against job-replacement technology, and career support.

Voting Results to Come

By the end of the week, we should know the full results of the union voting for MGM and Wynn. The union plans to disclose the results to the public. A majority vote is required to ratify contracts with the Nevada casinos.

The Culinary Union is also negotiating new contracts with 24 independent Strip and Downtown Las Vegas casino resorts. These venues are independently operated. Around 15,000 employees are represented under these contracts.

Strike deadlines may still be imposed if the operators do not agree by the end of the year. The union will consider a strike in the downtown area by January or February. Pappageorge pointed out that independent casinos tend to state they are not the major resorts during the negotiation process. Still, the union expects to negotiate an economic package and contract that offers quality benefits for employees.

The employees would like to see the same type of changes, though the wages are expected to be lower compared to the pay available on the Strip. The other locations do not see as much action as the busier sections of Las Vegas. It will be interesting to see the hourly compensation and how different each option is based on location.