Home Gambling Jobs lost, income down amid pandemic

Jobs lost, income down amid pandemic


LAS VEGAS (AP) — The economic effect of the coronavirus pandemic has emerged in stark numbers in an annual report showing dwindling employees at Nevada’s largest casinos and anemic revenue in the 12 months since the shutdown. of a statewide casino in 2020.

The Nevada Gaming Control Board’s annual gaming summary, released Thursday, said 302 statewide casinos that brought in more than $1 million in gambling revenue lost $206.4 million in the past 12 month ending June 30. This compares to nearly $2.9 billion in net income raked in by 267 casinos in fiscal year 2020.

The average number of employees fell 18% in the fiscal 2021 reporting period, from nearly 136,000 to around 111,500, according to the report.

All casinos and many other businesses in the state were closed from mid-March to early June 2020. Most have now reopened.

Gambling has returned faster than other resort services, including conventions, live entertainment and nightclubs, according to the data.

“Pandemic-related restrictions have severely impacted revenue in all departments except the casino department,” said Michael Lawton, senior board analyst, who produced the 184-page report. He noted that most of the jobs lost were in hotel operations and food and beverage, rather than casinos.

Of the 24,520 jobs lost, 20,578 were in departments other than gaming, he said.

The gaming summary includes information about the major casinos in Nevada, from average number of employees by department to revenue per room and gaming revenue per square foot of casino space.

The 302 casinos paid $802 million in gambling taxes and fees, equivalent to 9.5% of their gambling revenue, according to the report. A year ago, 267 casinos paid $694 million to the state, or about 10.3% of their gambling revenue.

In Clark County, home to the Las Vegas Strip, 173 casinos that met the $1 million threshold reported a combined net loss of $742.5 million in the 12 months ending last week. ‘last summer.

“The Strip lagged other submarkets in the state,” Lawton said, “due to reliance on multiple market segments, including international travelers, convention attendees, and customers (of national airlines).”

Over the past 10 years, Strip gaming revenue has averaged nearly 54% of statewide gaming revenue, the consulting analyst said. For fiscal year 2021, that figure fell to 42.4%.

In Washoe County, 36 casinos reported a combined net income of $275 million, according to the report. Eighteen Elko County casinos totaled $132 million.

The summary said 53 state-owned casinos accounted for nearly 65% ​​of the total gambling revenue generated statewide in the fiscal year.

Rooms, food, beverage and other non-gaming departments accounted for 47.6% of total statewide revenue, down from 63.2% a year earlier.

“Pandemic-related restrictions that limited restaurants, bars, entertainment offerings, including showrooms, concerts, special events and nightclubs, all played a significant role in the decreases,” a Lawton said. “Additionally, the lack of international travellers, convention attendees and the slow rise in leisure travel contributed to these results.”

Nearly 550,000 people in Nevada have been diagnosed with COVID-19 since the pandemic began in mid-March 2020, and 8,627 have died, according to state health officials.

Governor Steve Sisolak has invoked emergency powers to close businesses and allow phased reopenings, and to require people to wear masks in public buildings and shops. Mask mandates remain in place.

Non-gaming revenue was down $3.9 billion or 33.9% year over year, he said.