Union workers at Detroit’s three casinos went on strike at noon on Tuesday, October 17 after negotiators for the casinos and unions representing 3,700 workers failed to reach an agreement.
The contract was supposed to end 12 hours earlier but was extended as talks continued. Dealers, cleaning staff, food and beverage workers, valets, engineers and other workers at MGM Grand, MotorCity Casino Hotel and Hollywood Casino at Greektown want wages that keep up with inflation, retirement security and technology protections. Negotiations had been ongoing for a month.
When the strike was announced, hundreds of workers at MGM Grand Detroit left their posts, according to the Detroit News. They picked up signs stating “Detroit Casino Workers Need a Raise” and “Don’t Gamble with our Future.” As they marched throughout the casino, they chanted “No contract, no peace” and “If we don’t get it, shut it down.”
It was unclear if the casinos had hired temporary workers or how many employees would continue to report for work amid the strike. In a letter to employees, Matt Buckley, president and chief operating officer at MGM Resorts’ Midwest Group, wrote, “We will continue to offer employees work, and to the extent employees represented by the union choose to participate in the strike, we will take whatever lawful action is necessary to fill shifts and continue to provide our customers with entertainment and service.”
MGM Grand Detroit spokesperson Jason Barczy added, “Our gaming floor remains fully open and operational. Table games are also operational, although daily hours may be reduced. Our sportsbook is open, and guests may place bets using the kiosks located within the sportsbook.”
In a statement, Penn Entertainment, owner of Hollywood Casino at Greektown, said the facility will stay open despite the strike’s impact on its operations. Jeff Morris, vice president of public affairs at Penn Entertainment, said, “We will continue to welcome guests to play their favorite slots and tables or have a bite to eat in our food court. However, there will be temporary disruptions to valet and à la carte restaurants.”
Casino workers had been working under a 3-year extension to a 5-year contract from 2015; in 2020 they accepted small pay increases due to the impact of Covid-19 on business, according to the Detroit Casino Council, which represents workers from five unions. But since 2020, Detroit casino workers have received only 3 percent raises, while local inflation has risen 20 percent, the council said.
Nia Winston, president of Unite Here Local 24, said, “Workers have been standing up all over the country and one thing I hear most from all the members here outside of protecting their health care, outside of retirement improvements and wages, is the respect level. They believe that these employers have taken advantage of them and have disrespected them after they kept them afloat through the pandemic.
“Now we’re standing up and it’s just time to reset the relationship between the companies and the unions. After we helped Detroit’s gaming industry get back on its feet, business is booming, but the people who make the casinos run are still struggling.”
Officials at the three casinos said they will continue to negotiate with the striking unions. In a statement, Hollywood Casino at Greektown expressed disappointment that the unions rejected what it said were “generous, progressive settlement offers” but said it would continue talks to resolve the labor dispute “as soon as possible.”
Buckley said MGM Grand Detroit made six proposals to the unions, including the latest offer with “the single largest pay increase in the history of MGM Grand Detroit,” adding it will “continue to negotiate with the union to reach an agreement that is good for all parties.”
MotorCity Casino Hotel General Manager John Policicchio said, “While significant progress has been made, we have not yet reached an agreement with the Detroit Casino Council. We remain committed to bargaining in good faith and achieving a contract that is fair to our employees and allows our company to remain competitive in our industry. As we work to resolve the open issues, we will remain open to serve our guests.”
Striking workers will receive some alternative compensation, Detroit Casino Council spokesperson Meghan Cohorst said. UAW spokesperson Jonah Furman said the union’s 1,000 casino-worker members will receive $500 per week in strike pay. Winston said members of Unite Here Local 24, representing food and beverage workers, hotel workers, slot attendants and porters, also would receive $500 per week.