Union members at Detroit’s three casinos–Greektown Casino, MotorCity and MGM Grand Detroit–recently have ratified a 5-year contract agreement covering about 6,000 workers. The Detroit Casino Council, a consortium of four unions, and casino operators reached the deal earlier this month. Unite Here Local 24 President Joe Daugherty said the vote was 95 percent in favor at Greektown, 85 percent in favor at MotorCity and 76 percent in favor at MGM Grand.
Negotiations began in August for a new contract to replace the one that expired October 16. Key issues were health care, wage increases and bonuses. The new contract keeps the same rates for existing HAP/Blue Cross health plans. Casino workers will receive a 2 percent wage increase in the fourth year of the contract and a 3 percent raise in the fifth year. In addition, full-time workers will receive a signing bonus of $4,250 and part time employees, who make up about 20 percent of the casino workforce, will receive a $3,400 signing bonus.
Negotiations were closely watched by Detroit officials because of the high volume of tourism and tax revenue generated by the casinos–nearly $3.3 million a week, or $170 million annually, about 16 percent of the city’s total revenue.
Sandra Poinsetta, vice president of Unite Here Local 24, said Detroit casino jobs “continue to be the best in the gaming industry and the impact of Detroit casinos continues to be extremely significant to the city of Detroit’s future and will be for years to come.”
MotorCity Chief Executive Officer Gregg Solomon said, “It was in our collective best interest to reach an agreement that continues to allow our associates to earn the highest wages in the gaming industry, while preserving the hotel and casino operations that provide such critical tax revenue to Detroit.”
MGM Grand Detroit President and Chief Operating Officer Steve Zanella stated, “Together, we crafted an agreement that reflects the priorities identified by union members: maintaining current healthcare plans while providing both wage increases and bonuses.”
And a spokesperson for Greektown Casino commented, “We are pleased to be aligned with our union partners on a labor contract that makes sense for all involved. We can now collectively move forward continuing to build a successful business for the benefit of our team members, our company and our Detroit community.”
