Caesars has furloughed 90% of its employees due to the coronavirus pandemic.
Caesars Entertainment Corporation announced that it has furloughed approximately 90% of its staff in response to the temporary closure of its casino properties across the US.
This news comes as all commercial casinos across the country have temporarily closed their doors and several states have extended the closure of non-essential businesses due to the coronavirus pandemic. Last week Nevada and Illinois extended the closure of gambling venues until April 30.
Caesars furloughs staff
In the announcement, Caesars said it expects the furloughs to have an impact on employees who work at the operator’s US properties and corporate staff. Caesars also said that all furloughed employees will remain as employees of the business during the period.
The operator is also committed to paying all furloughed employees for the first two weeks of the closure period for each casino venue. On top of this, furloughed staff will be able to use their available paid time off after the first two weeks.
For furloughed employees enrolled in the Caesars health benefit scheme, Caesars will pay 100% of health and insurance premiums through June 30 or their return to work, whichever comes sooner.
Tony Rodio, Chief Executive Officer of Caesars Entertainment said: “Given the closure of our properties, we are taking difficult but necessary steps to protect the company’s financial position and its ability to recover when circumstances allow us to reopen and begin welcoming our guests and employees back to our properties.
“The Company entered this crisis with strong operating performance, which, combined with the steps we are taking now, are critical to the future of our company”
What are other companies doing?
Caesars is the latest gambling company to announce plans to furlough its employees amid the casino shut down in the US.
Last week, Scientific Games announced that its executive leadership will reduce their salaries by 50% while the supplier’s chief executive Barry Cottle will reduce his salary by 100%, going without pay.
Penn National Gaming and Churchill Downs also announced they will temporarily furlough staff. Alternatively, the operator MGM Resorts announced the creation of an emergency relief fund for staff, along with a $1m donation to the fund.
