By DEREK HARPER Staff Writer
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Some casino workers at Revel may eventually see more pay and better benefits following Friday’s overwhelming vote to unionize with Local 54 of UNITE-HERE, as well as greater job security if the casino is sold.
But at least one analyst believes the vote, which eliminated the last non-union holdout among Atlantic City’s 11 casinos, sets the stage for a mid-September showdown when the union’s other labor contracts expire around the resort. It will be the first time in years that all contracts are expiring at the same time.
(Revel workers vote to unionize)
“That’s going to be a real hair-raiser there,” said Roger Gros, the publisher of the gambling trade magazine Global Gaming Business. “I’m looking for some real major labor turmoil when this contract expires.”
Local 54 will now represent about 1,000 housekeepers, bartenders, food service workers and others following Friday’s vote, which saw the union garner about four-fifths of the approximately 500 votes cast.
(See a timeline of the Revel casino)
Revel employed 2,946 people as of May 1, according to the most recent figures. That is the fourth-highest total among Atlantic City casinos, but about 7 percent less than a year ago. The gleaming $2.4 billion South Inlet casino opened in spring 2012 to great fanfare, but failed to attract enough gamblers and filed for bankruptcy in February 2013.
Casino officials did not respond to questions emailed to spokeswoman Lisa Johnson on Monday.
On Saturday, casino President Scott Kreeger said in a statement that Revel supported employees’ right to unionize. He said the casino hopes to “foster a good relationship and work productively with Local 54 as the collective bargaining process begins.”
Some local officials also announced their support for the vote Monday.
State Assemblyman Chris Brown, R-Atlantic, said in an emailed statement he was happy that Revel’s management team realized that it was important the casino industry thrives in Atlantic City while providing quality jobs with benefits and advancement opportunities.
Atlantic City City Councilman Marty Small, a Democrat, said he applauded both Local 54 and Kreeger, saying the vote was a long process.
The vote marked a political victory for the powerful local hospitality industry union, which pre-dates the casino era, but had lost members in recent years. Local 54 President Bob McDevitt called the vote a “huge victory,” in part because the casino industry could no longer point to Revel as a non-union holdout. No resort casino had ever before operated as a non-union shop.
McDevitt also said the vote meant Revel employees would be assured of working in the same environment as the rest of the industry.
He also said a perception of job insecurity drove the vote. Kreeger told The Press of Atlantic City in March that he had spoken with more than 30 different possible buyers. With a union, McDevitt said any job cuts would have to be negotiated with the union.
Gros agreed. The vote, he said, “means the employees at Revel are scared about what’s coming up and they took the word of Local 54 that they could do something for them.” However, Gros was skeptical, pointing to the $1,500 severance union workers at Atlantic Club received when that casino closed in January. It was better than nothing, he said, but not enough to live on.
McDevitt also said many yes voters were former Local 54 members who took positions at Revel and regretted losing union protection.
Others, he said, saw workers enjoying a better quality of life. Revel employees now see wages that can be more or less than what other casinos pay, McDevitt said. But he said there is no pension or 401(k) plan and most positions do not offer health benefits.
McDevitt said he did not believe the union vote would have an effect on any sale talks.
“Being union hasn’t complicated any sale in the history of Atlantic City,” McDevitt said. “If a place is for sale, it got sold. Being a union house has no bearing on it.”
Gros disputed that, saying the union vote would “have a big impact on their bottom line.” He expected Revel would drag its feet in negotiations, and when they do sign, he expected there would be changes to benefits.
“If it hits their bottom lines as hard as the other mid-level properties, it may be a real hurdle and it increases the chance to close,” Gros said.
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