Detroit Casino Workers Roll the Dice, Go on Strike Against MGM Grand, Greektown, MotorCity

Detroit casino workers went on strike on Tuesday after failing to reach a new contract with three of the city’s biggest casinos.

The Detroit Casino Council, representing 3,700 of the city’s unionized casino workers at MGM Grand Detroit, MotorCity Casino and Hollywood Casino at Greektown, took to the picket line at noon.

The unions rejected the casinos’ latest proposal, claiming that it failed to address some of the top concerns, including health care, job security, retirement, workloads and wages. The higher workload at Detroit’s casinos has resulted in 1,500 fewer jobs, the council said. 

“Making the decision to strike is never easy, but it’s past time for the workers who keep Detroit’s casinos running to get their fair share,” Nia Winston, president of Unite Here Local 24, the union of Detroit hospitality workers, said in a statement. “The city’s big three casino operators are earning more than ever, and we’re prepared to stay out on strike until we get what we deserve.”

The unions agreed to a three-year contract extension with minimal wage increases in September 2020 and have since received only 3% raises, while inflation in Detroit has risen 20%, according to the council.

The Detroit Casino Council worker negotiating committee is made up of five unions that represent a majority of workers at the three casinos, including Unite Here Local 24, United Auto Workers, Teamsters Local 1038, Operating Engineers Local 32 and the Michigan Regional Council of Carpenters. 

Detroit is now facing dual strikes, with the United Auto Workers union a month into its stand-up strikes against the Detroit Three automakers.

Matt Buckley, president and COO of MGM Grand Detroit, wrote in a letter sent to employees that the casino has made six proposals to the union and that its current offer includes the single largest pay increase in MGM Grand Detroit’s history.

“We will continue to negotiate with the union to reach an agreement that is good for all parties," Buckley said. "The reality is that no one wins in a strike. A strike hurts everyone – from employees and businesses to the community and the economy. We’re working hard to prevent that outcome."

Last year, Detroit casinos made $2.27 billion in gaming revenue — the highest ever in the history of the industry, with revenues on track for another record-breaking year in 2023, according to the council. Together, the three Detroit casinos reported $813 million more in total gaming revenues in 2022 than in 2019, while total wages paid to workers represented by the council were down $34 million, the council said.

Each day of a strike could put approximately $738,000 in city and state tax revenues and $3.4 million in casino operator revenues at risk, according to a report by the council released Monday. The wagering tax was Detroit’s second highest revenue source in 2022, surpassing even property taxes, according to the report.

The council voted 99% “yes” to authorize a strike late last month, after weeks of negotiating for a new contract.

Hollywood Casino at Greektown's parent, Penn Entertainment, and MotorCity did not immediately respond to The Messenger's request for comment.