The Covid-19 contagion has shut down businesses around the world, put millions of people out of work, and knocked the once robust U.S. economy on its heels. It’s an unprecedented moment in the history of our industry, with casino employees out of work, stuck at home, and feeling anxious about their futures.
Human resources consultant Donald Hoover, a veteran of the gaming and hospitality industries, says the crisis has handed operators an extraordinary opportunity to “walk the talk,” and show they stand by the mission statements that hang on their walls.
Earlier this week, just before a draft of the U.S. federal government stimulus package was released, GGB News spoke to Hoover, associate director at Fairleigh Dickinson University’s International School of Hospitality and Tourism Management, and president of New Jersey-based global consultant DHR Strategies.
GGB News: You’re a longtime HR professional, but there’s nothing in the handbook to address a crisis like this.
Donald Hoover: No, you couldn’t plan for this. A month ago, we had some of the lowest unemployment statistics in the history of the U.S., and two weeks later, we’re seeing some of the highest. But I take a positive outlook, because in most cases, our employees are being laid off with the intention of bringing them back. That’s the positive side. News of the stimulus package is encouraging, and can help to bridge the (financial) gap.
How can operators support their people at this time?
I recommend they have a centralized website or hot line so people can call in and get their questions answered. It’s critical during this time, with the mixed messages on TV and social media, that they get real answers from their employers, answers that are not obscured by social media and political influences.
In fact, this is a learning opportunity for those in management and leadership on how to communicate with their people while everyone’s at home. They can do virtual town halls, where people can ask any question, in a safe format, in a group setting. This creates a shared experience, to be able to say, “You’re not in this alone. We’re all in this together.”
We can learn from each other, too. I’ve heard from people in town halls, trying to file unemployment claims, who say these websites are crashing, so they’re applying for unemployment like they try to get tickets to a favorite concert—setting the alarm for 3 a.m., and making the call then.
How important is it for bosses to stay in touch with the rank-and-file?
Information has to be disseminated from the top, but small groups of people in different departments or certain shifts can use online meeting channels like Zoom or Webex. We’re social beings, and even though it’s only been a week and a half, a lot of us are desperate to just see each other, ask how people are doing, ask how we can help our coworkers. Getting together twice a week and sharing experiences can really help.
In our industry, we support one another. Especially when a family’s in need, our employees are known for reaching out and coordinating efforts to help. It’s really important that employees feel they’re not just out there waiting to come back to work. They want to feel that ongoing engagement.
Also, most employers in our sector have some type of counseling service that they can tap into. I know several organizations use virtual therapies, offering psychological support, reaching out to employees and team members in need. You pay for those services every day as an organization, so use them.
Some casinos have said they’ll continue to pay people for a couple weeks, but that may be cold comfort for those looking at long-term unemployment. What might the next phase hold?
Some companies will pay for the first two weeks off, then people can use their benefit time before filing claims. The stimulus package just came out with additional amounts for unemployment, which is critical, especially for people in tip positions. When tips are factored in, these people earn a decent amount. With the federal stimulus adding $600 on top of the state maximum, it makes being off from work more palatable.
A lot of this depends it depends on how fast our society jumps back into business. I believe half of the workforce in our industry is probably going to be back without hitting too much unemployment, but some people will have a harder time before getting back to normal again. Just remember, these are layoffs, not separations or terminations. The good thing is, I can bring you back without any paper process. It’ll be simple, with no impact on payroll systems, no rehiring costs. And that’s a real bonus.
What casinos and CEOs do right now will show their employees who they are in terms of corporate responsibility. How important will their response to the crisis be when the crisis is finally over?
If you pay your employees for two weeks and then they feel forgotten, that’s not a good thing for your organization. At tough times like this, true leaders step up, take the opportunity to engage with their employees, and show them they care. This is where you go back to your mission, vision and values. Are you showing that you mean them? You’ve got to walk the talk.
When the industry reopens, will it be on a phased basis, like Macau?
Theoretically, our industry could flip a switch and turn back on, but I don’t think we’ll be able to in this case, because of infrastructure issues that people typically don’t think about, like our medical facilities getting back to normal. But at some point, people are going to want to get back to normal and enjoy the entertainment, the dining and retail they’re used to.
Part of what we’ll have to do in our sector is add more cleaning staff, show people we’re being very meticulous with cleanliness, and really broadcast that. We need to make sure people are seen wiping down tables and windowsills. We have to show we mean business going forward.
Any parting advice for industry leaders and workers during this extraordinary time?
I’m an optimist. I do think we’ll get back to work, but we have to let this virus run its course. Some businesses will say we need to open up, but will people go there? That said, the good times are not as far away as some people think. We’re going to get back there.
For more information, call 609-432-7297 or Donald@DonaldHoover.com.
