Skip to main content
You are the owner of this article.
You have permission to edit this article.
Edit
Mass layoffs begin at Atlantic City casinos
top story

Mass layoffs begin at Atlantic City casinos

Only $5 for 5 months
Atlantic City Skyline

Voters will cast ballots Tuesday via vote-by-mail over whether to change the form of government in Atlantic City.

ATLANTIC CITY — Most of the resort’s casinos have sent temporary layoff notices to employees, a move that enables nearly 16,000 workers to receive unemployment benefits, as the uncertainty of when the state’s gaming industry will reopen continues.

Atlantic City’s nine casinos have been closed since March 16, when Gov. Phil Murphy ordered them to shut down indefinitely over concerns of the spread of the new coronavirus.

“This is truly an unprecedented time not only for Ocean, but for everyone,” said Terry Glebocki, CEO of Ocean Casino Resort, in a statement Thursday. “We are looking forward to the day when Ocean Casino Resort can reopen and welcome back our team members and guests.”

Other casino operators in Atlantic City, and across the United States, also are expected to reduce staffing levels as the country’s gaming, hospitality and tourism industries grind to a near halt.

The mass casino layoffs came the same day national unemployment numbers were released and offered a bleak picture of how concerns over COVID-19 have impacted the economy. According to the data, about 155,000 people in New Jersey filed for unemployment, 16 times the number who filed a week earlier.

The Atlantic City casinos all offered two weeks’ compensation and health benefit extensions to their employees after the governor’s order. Tropicana Atlantic City’s parent company, Eldorado Resorts, is offering an additional two weeks.

But with no clear indication of when casinos may be allowed to resume business, the temporary layoffs were considered necessary to allow eligible workers to seek unemployment.

“Hard Rock Hotel & Casino Atlantic City is committed to our team members during these unprecedented times, ensuring that our communication has been open and direct,” said Joe Lupo, president of Hard Rock Atlantic City. “COVID-19 has and will continue to have a tremendous financial impact on our team and business, resulting in incredibly difficult decisions made now and in the future.”

Employees at Caesars Entertainment Corp.’s three Atlantic City properties — Bally’s Atlantic City, Caesars Atlantic City and Harrah’s Resort Atlantic City — were informed of temporary layoffs Thursday, as were workers at Ocean. Hard Rock workers were sent a memo Wednesday. Resorts Casino Hotel handed out temporary layoff notices Tuesday. MGM Resorts International, parent company of Borgata Hotel Casino & Spa, issued company-wide notices March 17.

Hard Rock is allowing eligible employees to use their accumulated paid time off plus an additional two weeks’ worth of borrowed PTO, meaning some workers will be covered through most of April without having to file for unemployment.

“Team members furloughed and applying for unemployment will be able to take advantage of the new stimulus package until our property reopens,” Lupo said Thursday. “We are looking forward to having our team back on property for a busy summer.”

In an internal memo sent to employees Thursday, Ocean emphasized that the layoffs were only temporary.

“We plan to reinstate your employment as soon as we have the business needs and are permitted to operate,” the memo to employees said.

The layoffs at Ocean are effective Friday. Hard Rock’s and Resorts’ actions go into effect Monday. Caesars Entertainment’s temporary layoffs begin Tuesday.

Contact: 609-272-7222

ddanzis@pressofac.com

Twitter @ACPressDanzis

Staff Writer

I cover Atlantic City government and the casino industry since joining The Press in early 2018. I formerly worked as a politics & government reporter for NJ Herald and received the First Amendment: Art Weissman Memorial NJPA Award two years in a row.

Related to this story

The best local coverage, unlimited

Sign up for a digital subscription to The Press of Atlantic City now and take advantage of a great offer.

LEARN MORE

Welcome to the discussion.

Keep it Clean. Please avoid obscene, vulgar, lewd, racist or sexually-oriented language.
PLEASE TURN OFF YOUR CAPS LOCK.
Don't Threaten. Threats of harming another person will not be tolerated.
Be Truthful. Don't knowingly lie about anyone or anything.
Be Nice. No racism, sexism or any sort of -ism that is degrading to another person.
Be Proactive. Use the 'Report' link on each comment to let us know of abusive posts.
Share with Us. We'd love to hear eyewitness accounts, the history behind an article.

PLEASE BE ADVISED: Soon we will no longer integrate with Facebook for story comments. The commenting option is not going away, however, readers will need to register for a FREE site account to continue sharing their thoughts and feedback on stories. If you already have an account (i.e. current subscribers, posting in obituary guestbooks, for submitting community events), you may use that login, otherwise, you will be prompted to create a new account.

Get up-to-the-minute news sent straight to your device.

Topics

Breaking News