On Sunday, March 15, MGM Resorts International announced it is temporarily closing down all of its Las Vegas properties in response to the coronavirus pandemic “until further notice” beginning on Tuesday, March 17.
The casinos will close on Monday, March 16, followed by the hotels closing. Also, MGM will not make hotel reservations before May 1.
The Las Vegas-based MGM International operates eight properties, the MGM Grand, Bellagio, Mandalay Bay, Luxor, The Mirage, New York-New York, Park MGM, and Excalibur. The company also owns 50% of CityCenter, which includes the Vdara and Aria.
MGM International Chairman and CEO Jim Murren noted the temporary closings are for “the benefit of our guests, employees, and communities.”
“It’s now obvious that this is a public health emergency requiring major corporate action if we are to slow its progress,” Murren said. “We plan to reopen our resorts as soon as it’s safe to do so. Furthermore, we’ll continue to support our guests, employees, and communities in every way we can during this period of closure.”
MGM will release more details soon on its closing timelines, procedures and other issues related to the temporary suspension of operation.
In a letter addressed to MGM employees, the company stated that full-time employees being laid off or furloughed will receive two weeks’ pay dated from their last day of work. Likewise, all employees with company health insurance will still receive benefits through June 30.
There are at least two confirmed cases of MGM employees with coronavirus; one worked at Wet Republic pool and the other worked at Luxor.
The letter, which was signed by Murren, further said that salaried employees “should continue to work until further notice.”
“We deeply regret the stress this will cause our families and community partners, and we’ll do everything we can to lessen it,” the letter reads. “When we reopen, we’ll be ready to welcome the world back to our hotels and casinos.”
MGM’s announcement quickly followed the Centers for Disease Control and Prevention’s new guidance recommending event organizers postpone or cancel in-person events with more than 50 people in attendance for the next 8 weeks.
MGM already began taking steps to reduce the economic difficulties from the coronavirus as soon as occupancy rates in Las Vegas began to slip. On March 13, the company advised its employees that it would begin layoffs and furloughs, starting in the areas that would be immediately impacted by the slowdown.
MGM Properties Across the Country Affected
MGM International is also temporarily closing its Northfield Park, Ohio property, as well as its casinos in Massachusetts and Maryland. Also, following an order issued by the Michigan Gaming Control Board, MGM announced it will temporarily close casino operations at MGM Grand Detroit, including all hotel, bar and restaurant operations.
“We anticipate that MGM Grand Detroit will be closed for two weeks. At that time, we will re-evaluate the status,” a company statement said.
Steps Being Taken in Las Vegas
According to a statement from Bethany Khan, Culinary Union Local 226 spokeswoman, the culinary union has created new proposals for increased worker protection in response to the coronavirus pandemic. There are around Las Vegas 60,000 workers with union contracts.
In a statement to its members, the union said it would continue its negotiations on behalf of the casino and hotel employees, to protect provide enhanced protection for workers during these difficult times.
“We’re working with the employers in Las Vegas to identify job opportunities and to make sure these are made available to laid-off workers. That includes work available in other classifications if needed and if a worker is qualified,” the statement reads.
Addressing the media March 15, Nevada Governor Steve Sisolak noted that Nevada’s unemployment fund is good for now and that he supports any company’s decision to close, or remain open.
Earlier that day, Governor Sisolak ordered all K-12 public schools in Nevada closed, beginning Monday, March 16, to ease the potential impact of COVID-19.
Wynn Resorts Ltd. Has also announced plans to close its Las Vegas properties for two weeks. That included the Wynn Las Vegas and the Encore.
Right now, Las Vegas Sands Corp., Caesars Entertainment Corp., and Boyd Gaming Corp. have no plans to close their Nevada casinos.
