Detroit’s casino union workers ready to strike if no deal is reached before midnight

Update 10/16/23 at 5 p.m. ET: A spokesperson for MotorCity Casino responded to WDET’s request for comment with the following statement:

“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.”

Original story appears below.

Union contracts with MotorCity Casino, MGM Detroit and Hollywood Casino at Greektown are set to expire on Monday at 11:59 p.m.

Failure to reach a new agreement could result in a strike after represented members voted 99% in favor of authorizing one last month.

Negotiations are being handled by the Detroit Casino Council, which is made up of five unions representing the various casino workers. Members signed up for picket line shifts and strike benefits in preparation for a possible walkout over several days last week.

Listen: Casino employees want higher wages and staffing improvements

Betting on the house

New union agreements are typically negotiated every few years. However, for gaming house employees, it’s been an abnormally long wait to reach a deal that satisfys their demands — as UNITE HERE Local 24 President Nia Winston explains.

“We were really looking forward to negotiations in 2020,” Winston says. “The industry was doing extremely well and this was before online gaming.”

But just as it was time for bargaining, the COVID-19 pandemic struck. In-person gambling was one of the hardest hit industries during mandatory shutdowns.

“Casinos were shut down I believe twice,” says Winston. “Workers were furloughed [and] did not know when they were going to get recalled.”

Bargaining teams shifted their priorities to protecting healthcare and agreed to small wage increases, totaling 3% over the life of the contract.

Milledge McCaster is a member of Operating Engineers Local 324. As he recounts, the goal was to make sure the industry could survive the uncertain times.

“And once they [casinos] emerged — figuring that we could all share in the economic part of it,” McCaster says. “And that just hasn’t happened.”

Pay window for workers closed

Detroit’s casinos furloughed workers as they faced limitations and shutdowns during the pandemic. In the time since restrictions were lifted, employment numbers have not rebounded.

The Detroit Casino Council says there are 1,500 fewer employees in the city’s casinos today than pre-pandemic. That’s a workforce reduction of about 30% compared to 2019 levels.

Detroit’s three casinos combined for $2.27 billion in gaming revenue last year.

McCaster says he’s felt the impact of staffing shortages in his line of work — taking care of things like rooftop cooling systems at Greektown Casino.

“Some people are not even able to take vacations because it’s only one slot available for someone to take vacations,” the engineer said.

Part of the problem is that many of those who were furloughed during the pandemic weren’t hired back.

“Before we shut down there were 95 girls,” MGM Grand cocktail waitress Danielle Giesen-McDowell explains. “When we came back there [were] 20 to work basically all day.”

She says that was particularly hard coming out of the pandemic, when a half dozen servers were on the casino floor at a time and also had to enforce COVID protocols.

“And it’s kind of continued on that way,” Giesen-McDowell says. “We have some more people, but just the conditions that we were in, a lot of the new people that are hired in don’t stay.”

Workers want their fair share of casinos’ winnings

One thing bargaining teams think could help with employee retention is higher wages. While represented gaming house employees have seen their pay go up by 3% since 2020, the cost of living in Southeastern Michigan nearly doubled the rate of their wage growth during the same period.

“Workers took care of them [casinos]. We want them to take care of the workers.” – Nia Winston, UNITE HERE Local 24 President

Orlando Alvarez is a valet at Greektown Casino. He’s only worked there since August, but says he already feels like his paycheck is too small.

“I’ve been doing overtime because I can’t afford it,” Alvarez say, “and I’m already considering getting a second job. So, it’s just the way it is — out here it’s not easy.”

Meanwhile, in-person gambling has made a more-than-full financial recovery since the pandemic. Detroit’s three casinos combined for $2.27 billion in gaming revenue last year. That’s over $800 million more than what they made in 2019.

After making concessions during the last round of bargaining, Nia Winston says union leaders want to see the casinos return the favor in a new deal.

“Workers took care of them,” she says. “We want them to take care of the workers.”

Drawing new cards

With current agreements expiring early Tuesday at midnight, Winston says both sides are talking but currently seem far apart.

“I remain optimistic,” says Winston. “We’re at the bargaining table every day — up to and including the expiration.”

WDET reached out to the casinos for their comments on current contract talks. MotorCity Casino and Hollywood Casino at Greektown have yet to respond as of the publishing of this story.

In a response from MGM Grand, spokesperson Dara Cohen says the casino is negotiating towards a contract that demonstrates its commitment to employees.

“We believe that all parties are dedicated to reaching an agreement that works for everyone,” states Cohen.

Editor’s note: The Detroit Casino Council represents UAW Local 7777 members. Some employees of WDET are members of UAW Local 1979 — a different bargaining group that’s unaffected by these negotiations.