Potawatomi Hotel and Casino announced to layoff 1,600 employees because of the impact of the novel coronavirus. The casino will permanently let go of employees as the tourism industry struggles to recover from the pandemic’s losses.
In the US, casinos have shut down since mid-March because of the government’s travel restrictions as it battles the novel coronavirus pandemic. The struggle against the invisible enemy hit the revenues of the casinos. Every casino in the US and other places worldwide reported massive losses during the prolonged months of lockdown.
Other industries related to the industry also suffered from the virus’s economic impact. Tourism was among those industries with the worst revenue this year, along with the airline industry and others. Only those companies related to technology saw upward movement in revenue.
US Companies report mass layoff
WARN notices were given by companies with more than 100 employees to workers when they plan a mass layoff. The notice was aimed to protect workers and allow them to adjust to future loss of employment. It gives the chance to look for a new source of income or find a new job.
Some companies decided to cut wages of employees during the reopening to avoid letting go of their employees. However, this is not the case for most companies. The limited operational capacities and implementation of new safety and health protocols, limit the number of customers they have, along with their revenue. They don’t have the choice but to let go of their employees.
Potawatomi Hotel and Casino Lays off 1,600 employees
Many casinos in Las Vegas issued WARN notice to their employees this month because of the unstable online gambling situation. Potawatomi Hotel and Casino had 2,600 employees before the pandemic started, and 1,000 people were brought back to work in June during the reopening. On Friday, employees received their WARN notices, which will take effect on August 15.
Rodney Ferguson, CEO, and general manager of the hotel and casino, said it hurts them to let go of their employees. Their employees helped build the company become the most visited entertainment venue in Wisconsin.
The company said they would continue expanding their operations guided by science and the conditions dictated by the pandemic. The CEO assured that they would make decisions based on the best interests of the safety and health of guests and employees.
State Representative JoCasta Zamarripa was saddened by the news and said it was a devastating punch in the gut. Zamarripa said he had represented the casino workers often, and they consider them as friends and families. He was disheartened that the workers lost their livelihood.
Other companies also issued warnings to their employees. Delaware North fear that they might let go of 1,300 employees.
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