Brigid Callahan Harrison Announces Comprehensive Casino and Tourism Recovery Plan and Principles  

Harrison
Brigid Callahan Harrison Announces Comprehensive Casino and Tourism Recovery Plan and Principles

[May 19, 2020 – Longport, New Jersey] When the COVID-19 first broke, the United Stated witnessed nearly 1000 commercial and tribal casinos shuttered their doors in less than a week, with more than one million employees throughout the country affected by the pandemic

Locally, the month prior to the pandemic, the Atlantic City casino industry extended its streak of gaming revenue increases to 20 consecutive months, with total gaming revenue by the city’s nine casinos reaching more than $270.5 million in January, a nearly $50 million increase, or $22.6 year-over year.  Unfortunately, since the shutdown, over 27,000 employees, most of whom live Atlantic County have now lost their jobs, making Atlantic City clearly the most vulnerable city in the State, and as reported in the Press of Atlantic City, the Brookings Institute recently ranked the city third in the nation among metropolitan areas with jobs in industries at high risk from the pandemic.

As the result of discussions with casino and hospitality industry workers laid off during the pandemic, industry executives, organized labor union leaders, and casino trade group policy experts, Brigid Callahan Harrison has set forth the Casino and Tourism Recovery Plan and Principle.  The following defines the key areas of the Harrison plan, along with the endorsement from UNITE HERE Local 54, which represents nearly one-third of Atlantic City’s casino and hospitality workers, including restaurant, housekeeping and environmental services employees:

The casino gaming, travel, and tourism industry warrant special protection from the federal government because over 650,000 employees from Atlantic City to Las Vegas, and from Biloxi to Deadwood have lost their jobs, and every month that casinos remain closed means that over $6 billion in wages and salaries that are not paid to casino employees.

Federal government intervention is necessary because nearly one-quarter of Americans (56 million people) have cancelled vacation plans because of COVID-19. When casinos re-open, it will take months – perhaps years — to recover, as many individuals will defer travel, conventions, and congregating in enclosed spaces well beyond formal re-opening.

“This pandemic has literally shutdown Atlantic City, and done devasting damage to our region’s economy.  People are hurting and frankly, South Jersey has no use for a congressman who is not willing to fight for our city or candidates who literally need on the job training when crafting policy,” stated President Bob McDevitt, President of UNITE HERE Local 54.  “This plan is a culmination of a great deal of work and collaboration from Brigid.  Since the day our doors closed, Brigid has been meeting and listening to industry executives, organized labor union leaders, and casino trade group policy experts to craft a substantive, aggressive, and customized plan for recovery.  Unlike the policies presented by other candidates, this was not drafted by staff or cut and pasted from think tanks. Brigid has worked hard to find substantive solutions aimed at fighting for South Jersey’s future.  We are enthusiastically endorse this plan, but just as important, this plan shows not only Brigid’s understanding and expertise in crafting policy solutions, but clearly showcases our current leadership void in Washington, that we so desperately need to fill as soon as possible.”

The following lists Callahan Harrison’s principles in addressing this significant issue for the area:

  • Grants for payroll support. Providing set-asides for payroll support for the casino, travel, tourism and hospitality industry will ensure that the over 650,000 employees in the casino industry throughout the United States are able to remain in their communities, with the promise of a job when this crisis is over. Workers, casino executives, and union leaders agree: it is in everyone’s best interest that workers remain employed, so that casino operators are not faced with recruiting, hiring, and training a new workforce. And a fiscally responsible solution requires that Congress prevent casinos operators from using funds for buy backs of stock shares, and that those operators receiving fund must institute caps on executive pay and bonuses.

 

  • Extend unemployment benefits beyond the current 13-weeks. In New Jersey, current unemployment benefits will carry a laid-off casino worker until September. Economic stability and consumer confidence necessary for the beginning of an economic recovery must be rooted in eliminating uncertainty for casino, travel, tourism, and hospitality workers.

 

  • Enable those seasonally-unemployed workers to qualify for the $600 weekly supplement. Many New Jerseyans are laid off each year after the holidays and return to work in the Spring. Seasonal employees, many of whom currently face unemployment benefits running out, need to have their unemployment benefits extended and should be entitled to the $600 supplement.

 

  • Reimburse labor unions that have extended health and welfare benefits to their members.  Some union locals, including Atlantic City UNITE HERE Local 54, voted to extend health benefits to members to June 30, 2020. In doing so, the union has saved taxpayers tens of millions of dollars and has provided the gaming industry with flexibility as they look to re-open casinos in the months to come. But it has also meant that the HERE Health Fund has depleted its surplus by more than 25% in just two months. The federal government, which saved millions by not having many of these workers enroll in Medicaid should be compensated so their Health Fund remain able to provide health benefits for their members as the COVID-19 situation evolves.
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