Thousands of casino workers have begun a strike in Detroit, demanding increased wages and improved working conditions.
The walkout, which started on Tuesday, October 17, impacts operations at MGM Grand Detroit, owned by MGM Resorts International.
It also affects Penn Entertainment, owned MotorCity Casino and Hollywood Casino at Greektown.
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Approximately 3,700 employees across various roles, such as dealers, cleaning staff, food and beverage workers, valets, and engineers, are participating in the strike.
The Detroit Casino Council represents culinary workers and comprises of five unions, including the United Auto Workers.
The strike led MotorCity Casino to close its high-limit table games, poker rooms, casino valet services, spa facilities, and some restaurants and bars.
FanDuel, which works in conjunction with MotorCity, closed its FD Sportsbook.
However, it kept one non-union employee managing cash transactions to adhere to Michigan regulatory requirements.
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Hollywood Casino at Greektown said: “We are disappointed by the decision of the Detroit Casino Council as we have made generous, progressive settlement offers that position our team members and business for sustainable success.”
Matt Buckley, president and COO of MGM’s Midwest Group, announced that he intends to keep the MGM Grand Detroit property operational during this strike.
“Regarding the status of our negotiations, we’ve made six proposals to the union and our current offer includes the single largest pay increase in the history of MGM Grand Detroit.
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The Detroit Casino Council said casino workers had agreed to a three-year contract during the early days of the pandemic.
However, the contract has now expired.
The expired deal included 3 percent wage increases.
But the cost of living has surged by 20 percent due to high inflation.
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Despite the casino industry generating record revenues, workers receive less pay.
The strike’s daily impact could put at risk approximately $738,000 in city and state tax revenues and $3.4 million in casino operator revenues.
MGM Resorts, Caesars Entertainment, and Wynn Resorts also face potential strikes in Las Vegas.
Nearly 40,000 members of the Culinary Union have authorized a strike, although it hasn’t been called yet.
