Caesars Group Furloughs 90% of Staff Due to COVID-19 Pandemic
The already struggling Caesars Group has announced that it will be furloughing more than 90% of its staff on an indefinite basis. The decision comes after state governments across the country have acted to impose or extend lockdown measures to prevent the spread of COVID-19 any further. With no precise date for when casinos will be able to go back to normal operations, the company has opted to operate with a skeleton staff.
The company estimates that around 65000 workers will be affected by this decision. It is unclear whether employees who are not selected for the furlough will be able to keep their jobs. Furloughed employees will be paid for the first two weeks of the lockdown. Thereafter, they will be able to use their leave days to cover the time off.
In addition, Caesars has also stated that they will still be paying the health insurance premiums of their furloughed employees until June 30th should the lockdown last that long.
Caesars Group Not the Only Casino Giant Affected
The casino industry as a whole is feeling the effects of the COVID-19 crisis. With large groups unable to congregate, it is not possible to run a fully-function casino at the moment. Thus, Caesars is not the only group in the industry to announce furloughs for its employees.
Game provider IGT also announced that they would be furloughing 2300 employees. Employees in senior positions are expected to experience significant salary reductions. The company did state that employees would continue to receive their benefits for the duration of the furlough.
Las Vegas Sands, Wynn Resorts, Stations Casinos, and MGM Resorts have also all announced furlough for their workers. Most of these groups have said they will be paying employees until at least the end of April. Employees will be able to keep their benefits.