Crown Resorts has announced that it is standing down approximately 95 percent of its workforce during the Covid-19 business suspension period, a process which is now “substantially complete.”
Crown states that it has agreed to provide an ex gratia payment of two weeks’ pay to non-senior management full-time and part-time employees who have been stood down, and that a lump sum payment of A$1,000 (US$640) has been provided to “eligible casual workers.”
CEO Ken Barton stated, “We have taken the tough but necessary decision to stand down a large number of our employees. I have a deep gratitude to our employees for their understanding and commitment during this painful and highly uncertain time. We are continuing to investigate ways in which we can support our employees on an ongoing basis.”
While its gaming and other non-essential business activities remain suspended, Crown expects its underlying operating cash costs to reduce to between A$20-30 million per month.
The Australian government announced that casinos must close on March 23.
On the other hand, Crown also announced that the Crown Sydney project is continuing construction as planned, and it remains on track to be completed by the end of the year. The project cost is still expected to be approximately A$2.2 billion. Workforce stand downs do not apply to this under-construction facility.
This Dossier results from the “Life After POGOs” editorial project by Asia Gaming Brief which culminated with a pop-up digital forum on 9th December to discuss potentials ramifications in the industry.
Hyatt Hotels Corporation has announced the opening of the 1,600-room Grand Hyatt Jeju in South Korea, the largest Hyatt hotel in Asia Pacific. This hotel is part of the Jeju Dream Tower which opened on Friday.
Galaxy Entertainment Group told Macau News Agency that recent wage dispute involving workers employed at its Cotai expansion projects, originated from fee disputes between the workers and mainland employment agencies.
MGM Resorts has thrown its cards into the online gaming ring, with an attempt to buy U.K.-listed Entertain for GBP11.3 billion ($15.4 billion), which may reshape the group and reduce its focus on Asia in the longer term.
Over the years, many of the answers have been remarkably prescient in their forecasts for the near-term direction of Asia’s gaming industry. However, we can safely say that no one came anywhere close to guessing
what 2020 may have had in store.
While nowhere in the world has escaped the economic fallout from the Covid-19 crisis, Macau has been hit harder than most, with forecasts for gross domestic product to shrink more than 50 percent this year.