Encore Boston Harbor Resort & Casino has announced plans to reduce its full-time workforce by 10 per cent and cut ties with part-timers as the deadly corona virus pandemic dealt a big blow to the Wynn Resorts-owned property’s revenues and profits.
The harsh decision was taken in wake of drastic decline in Encore Boston Harbor Resort & Casino’s revenues and profits as the property remained closed since mid of March this year due to COVID-19-induced lockdown. The decision clearly shows that the pandemic has started showing impact on the wallets of hospitality and entertainment companies. The company stressed that the casino’s overhead has to be slashed in order to rebound, and that forced the staffing reductions.
Eric Kraus, the head of public affairs at Encore Boston Harbor Resort & Casino, said the property has nearly 4,200 employees, including 850 part-time workers. He explained that as there is still no precise timeline for Massachusetts’ casinos to reopen, Encore Boston Harbor Resort & Casino decided to cut workforce to avoid losing more revenue. All of the property’s 850 part-time employees will become redundant, while the force of full-time workers will be reduced by ten per cent.
Encore Boston Harbor Resort & Casino had taken the gaming sector by storm when it opened its doors to the public less than a year ago. Encore managers have now declared that they may undertake some more measures to head back to good health.
Massachusetts Gov. Charlie Baker’s office has declared that the state would work on a “four-phase” plan for reopening businesses. Through the slow process of reopening of the businesses, casinos and gaming properties would be included in third phase. However, even the first phase has not been launched yet. According to the governor’s office, each phase will likely last for around three weeks, which means the third phase would be nearly two months away, if Phase 1 is launched today.
Across the US, many states have started to show signs of life by implementing rebuilding policies to help businesses, including casinos, recover from the corona virus pandemic. For instance, casinos in Nevada, Oklahoma and Louisiana have either reopened or are preparing to reopen soon. However, Massachusetts will likely be one of the last territories to pull the trigger on gaming. Thus far, Massachusetts has registered nearly 97,000 infections and 6,846 deaths caused by COVID-19 pandemic.