Lucky Red Casino
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Casino Windsor Lays Off Workers

Casino Windsor in Ontario, Canada is set to lay off 297 union workers and terminate 32 salaried employees, said casino officials Wednesday. They cited declining revenues caused by Ontario's new smoking ban, an unfavorable exchange rate, high gas prices and other factors, as the reasons for the terminations.

"This is a day that no one takes lightly. Layoffs or terminations are always a last resort," said Holly Ward, the casino's manager of corporate communications. "It's safe to say the business is softening right now. If revenue is declining, we can only wait for so long to react."

Officials from Casino Windsor declined to comment on how much their business has dropped.

The number of those that will be losing their jobs represent 8.8 percent of the casino's 3,756 employees. According to Ward, the 297 union workers were given notice of the layoffs on Wednesday and the terminations will be effective in the next two weeks. The employees were from table games, slot operations, food and beverage services and casino finances. The 32 salaried employees were immediately relieved from their posts.

The unfortunate laying-off comes less than two months after the Ontario provincial government implemented a smoking ban on virtually all businesses, including casinos and bingo parlors. The government imposed the smoking ban, effective May 30, in order to cut health care costs.

Analysts had agreed before that the smoking ban would cause Casino Windsor to lose business to Detroit's casinos - Greektown, MotorCity and MGM - where smoking is allowed. This is a huge slap in their business, what with at least 80 percent of Casino Windsor's business coming from the United States.

"I'm not surprised," said Jacob L. Miklojcik, a gaming consultant from Lansing. "Since you can smoke in the Detroit casinos, it ends up being a big problem for Casino Windsor."

 

Tuesday, 01. 2006
Brian Letendre