Is the falling economy encouraging the unionisation of the gambling industry?
Sunday 25th January 2009
For many years the worldwide casino industry had successfully fended off various attempts to introduce union power to the sector. However, the continual demise of the sector on a worldwide basis has given various working unions a significant opportunity to increase their exposure to the casino industry and potentially become a severe thorn in the side of casino operators.
We have seen a number of situations in the US where the unions have stepped in to support their members where otherwise the casino managers would possibly have rode roughshod over casino employees with little or no repercussions just months ago.
Prior to the significant collapse in casino attendance numbers, we have seen a number of strike actions announced up and down the US in various casinos, often resulting in attractive wage agreements being agreed. There is no doubt that the environment for casino employees has benefited significantly from the introduction of unionisation but whether the impact going forward will be as impressive remains to be seen.
Unfortunately a number of casino operators are struggling for survival and unwelcome union demands could well push many over the edge in the short to medium term. It will be interesting to see if the unions "back off" in light of the current economic environment or whether they use their newfound powers to hit casino operators when they are down!