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The MGM Grand Detroit casino plans to cut about 1,100 jobs as part of MGM's nationwide downsizing plan, a casino representative said.
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MGM Resorts International is reportedly laying off 18,000 of its furloughed workers, effective Tuesday, because of slow business amid the coronavirus pandemic. Health insurance benefits for the affected workers will run through Sept. 30.
Detroit's three casinos reopened Aug. 5 with capacity restrictions, 4½ months after having closed for the pandemic.
Currently, Motor City Casino-Hotel and Greektown Casino-Hotel are all preparing to reopen by that date with new safety precautions in place, while MGM Grand Detroit will open Friday, August 7. Like it or not, casinos are a big source of revenue in Detroit, pouring $184 million into the city’s tax coffers in 2019. A representative confirmed the restaurant will be run by MGM Grand Detroit and is slated to debut in late October. Detroit casinos are currently open at 15% capacity and with additional restrictive. MGM Detroit is also home to a full-service spa, fine restaurants, and entertainment venues. MGM Detroit coupon codes are your ticket to savings on casino games and more, including: All your favorite Las Vegas-style gaming in the casino; A luxury hotel with suites, penthouses, and everything in-between.
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The three properties' 15% capacity restriction is among the strictest COVID-19 rules in the country.
More: Ready or not, Detroit's three casinos reopen Wednesday with capacity restrictions
MGM Grand Detroit employs about 2,800 people. The other two casinos, MotorCity Casino Hotel and Greektown Casino-Hotel, have not announced any similar permanent layoff plans.
'Not only will the impact of the layoffs ripple through the rest of the economy, but the contraction in gaming revenues also means fewer tax dollars will be collected,' casino industry observer Alex Calderone, managing director of the Birmingham-based Calderone Advisory Group, said about the MGM's 18,000 layoffs.
The contraction 'will likely result in significant budgetary shortfalls across a number of state and local governmental entities,' he said.
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Contact JC Reindl:313-222-6631 or jcreindl@freepress.com. Follow him on Twitter@jcreindl. Read more on business and sign up for our business newsletter.
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This article originally appeared on Detroit Free Press: MGM Grand Detroit casino to cut 1,100 furloughed workers as pandemic slows business