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LAS VEGAS CASINO: PAY DURING CLOSURES

Las Vegas, the grand mecca of casinos, has always survived the ups and downs of the U.S economy. Anytime you would visit the city, the different noises emanating from casino spots were sounds to identify with. During the 2008 financial crisis or even after one of the worst recent U.S shootings in 2017, the casinos remained operational. But now the gambling industry seems to be limbo after the breakout of Coronavirus in Nevada. Such a blow has never hit casinos before, and tons of changes have now taken place in the industry. We review some things as follows;

Corona Hit On Casino

In a bid to contain the spread of the novel Covid 19, the Nevada State Governor ordered the shutdown of all businesses providing nonessential services. Among the worst hit was the casino, which is also a primary revenue generator for the state. Before the order, the gambling industry had already begun experiencing the impact of the virus. The casino stocks have been continually trading low since the emergence of the pandemic, but in recent weeks, traders have made huge losses. For instance, Penn National Gaming lost 36% while Red Rock Resorts plunged a whole 41%.  Gambling operations have also been halted.

Casino Closed By Officials

By 16th March midnight, the door of the last casino in Las Vegas was to be closed. The officials were determined to obey the order and join the ranks in fighting the pandemic. Before the deadline, chips on the baccarat tables were collected by security guards as all the slot machine screens turned black one by one. Besides the games, every section of the casinos closed down with shelves being cleared of wine and liquor while the entertainers plus musicians packed and left the rooms. To ensure maximum safety, the janitors disinfected the rooms, and the door handles as a hygienic measure against COVID-19. 

Pay During Closure

As the pandemic rocks the city and the businesses closing down, employees may be uncertain of what to expect. However, a majority of Vegas’ casinos reported that they would continue offering regular pay to their workers for two weeks after closure. Most operators have not given clear communication on what would happen after the specified two weeks. On the other hand, layoffs and furloughs (paid and unpaid) have been done with some more expected. For example, Caesars Entertainment Corp had furloughed 90% of its workers by 2nd April 17, 2020, who was to be paid for two weeks post-shutdown. In contrast, companies like Wynn Resorts Ltd will continue paying the employees full wages until 15th May. 

Online casinos can help landbased

With the wrecked landbased casinos, online casinos seem to be an excellent alternative for avid gamblers. Various companies are, therefore channelling efforts to make their casino websites as elegant as possible to attract players.

Conclusion

Coronavirus pandemic has impacted the economy of every nation and state, but Las Vegas that rides mainly on tourism has had the worst blow. With a shutdown of nonessential businesses, gambling industry has taken a nosedive with casino stocks losing considerable percentages in recent trading. Casino companies are laying off workers while others are furloughed either with payments or none. 

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