Las Vegas Service Industry Employees Threaten Strike Amid Labor Disputes

After a landmark agreement at dawn on November 8 between Caesars Entertainment and Las Vegas hotel employees’ union, a tentative contract is slowly forming for the 20,000 hospitality employees at MGM Resorts International. Professionals say it would almost surely defeat the unparalleled strike on The Strip.

Commenting on the contract, Bill Hornbuckle, CEO of MGM Resorts, said to investors while discussions were happening in the casino’s ballroom: “I believe we will come to a deal today. We know from listening to our employees that they are looking for a pay increase to combat inflation, among other concerns. This deal, when announced, will do just that.” However, the Culinary Workers Union has made threats to go on strike before dawn on November 10 if the talks fail. The tentative deal seem to give the union the momentum it needs to reach new agreements, according to University of Nevada Las Vegas associate professor, Bill Werner.

Relatedly, the union commented: “The breakthrough pact with Caesars came after 20 straight hours of bargaining that began Tuesday and stretched into Wednesday morning.” Caesars said: “The agreement recognizes the integral contributions our Team Members have made to the success we have seen in Las Vegas over the last few years with meaningful wage increases and opportunities for growth tied to plans to bring more union jobs to the Strip.” The tentative contract would cover assets that involve the firm’s leading Harrah’s, Paris Las Vegas, Horseshoe, Caesars Palace and Flamingo, Linq, Cromwell and Planet Hollywood.

The potential strike could negatively impact the Las Vegas economy if the union cannot reach agreements with Wynn Resorts and MGM Resorts by 5 AM on November 10. Talks with Wynn Resorts are slated to take place on November 9. A potential strike by Wynn and MGM employees could have major negative consequences for the Las Vegas economy.

Negotiations began in April over wages, job security, benefits, and working terms. They have intensified following a vote two months ago, which permitted the strike. The union added: “We are negotiating the largest wage increases in its history.”

The potential strike underlines a year of significant labor union actions in the U.S., which may disrupt the Grand Prix course and major hotel-casinos. This includes MGM Grand, Mandalay Bay, and Wynn Resorts, raising concerns about the industry and worker solidarity.