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UAW to Withdraw from AFL/CIO After Court Ruling on Atlantic City Casino Smoking

New-Jersey-Dealers-Union-Withdraws-from-AFLCIO-Over-Casino-Smoking-DecisionThe fallout from a court ruling allowing indoor smoking in Atlantic City casinos took a new turn on Wednesday, with the United Auto Workers (UAW) announcing plans to withdraw from New Jersey’s AFL-CIO. This decision comes after other unions, including Local 54 of UNITE HERE, supported the continuation of indoor smoking, much to the dismay of the UAW.

During a joint press conference held by Casino Employees Against Smoking Effects (CEASE), UAW Region 9 Director Dan Vicente expressed frustration over the court’s ruling, which dismissed a lawsuit aimed at halting indoor smoking in casinos. The group, which represents table game dealers and casino workers opposed to indoor smoking, had argued for an injunction based on public health concerns.

Union Conflict Over Smoking Legislation

The UAW’s decision to withdraw stems from their dissatisfaction with other unions that support the smoking exemption. Local 54 of UNITE HERE, representing casino employees in non-dealing roles, supports a compromise backed by the Casino Association of New Jersey, which allows smoking on 25% of the gaming floor but makes working in smoking areas voluntary.

Local 54 filed a brief opposing the lawsuit seeking to end the smoking exemption, leading to growing tension within the union community. New Jersey Governor Phil Murphy previously stated he would sign any bill that bans indoor smoking at casinos, but the legislature has yet to take up the issue.

Commenting that he will be pulling the UAW out of the AFL-CIO of New Jersey over this issue which he described as “moral, health, and safety issue”, Vicente announced as follows:

“I cannot express how furious our institution is at the Jersey state-level AFL and the other unions that filed an injunction status against us.”

The New Jersey Superior Court ruling on Friday, which supported the current exception in the 2006 Smoke-Free Air Act, allows casinos to maintain smoking on 25% of their gaming floors. The UAW had filed the lawsuit, arguing that workers had a constitutional right to breathe smoke-free air, but the judge ruled against this claim, stating that the “right to safety” was not well-established.

Moving Forward Amid Tensions

While Vicente remains determined to pursue the case at the state’s highest court, he acknowledged that legislative options are also being explored.

“We plan to escalate the situation in New Jersey. But understanding that this is an election year, we have a lot of national coverage right now in the union. … We plan to try to put as much pressure on the legislature as we can.”

The UAW’s decision to withdraw from the state AFL-CIO chapter marks a significant escalation in the fight against indoor smoking at Atlantic City casinos, with no resolution yet in sight.

Smoking Ban Efforts Continue

Despite the court ruling, efforts to pass a smoking ban continue. State Senator Joe Vitale, who chairs the Senate Health Committee, said he will push the bill to the Senate floor.

“This has been an effort over the years to try to right this wrong, and we’re getting closer and closer. We’re clearly very disappointed in the judge’s ruling. I don’t know why it is that casino workers can’t have an expectation of safety… I think it’s certainly wrong, and anyone who is fair-minded, I think, agrees.”

CEASE plans to intensify its campaign to raise awareness of the health risks casino workers face. Cynthia Hallett, president of Americans for Nonsmokers’ Rights (ANS), said that CEASE will launch a digital media blitz, including a campaign called “Kids of CEASE,” which will air in key New Jersey districts.

SOURCE:

“UAW to pull out of AFL-CIO over New Jersey casino smoking loophole” by P. Kenneth Burns, whyy.org, September 4, 2024.

“New Jersey’s dealers’ union pulling out of Atlantic City after smoking decision” by Frenk Legato, igamingbusiness.com, September 4, 2024.

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Atlantic City Casino Smoking to Remain, as New Jersey Judge Dismisses Lawsuit

Atlantic City casino smoking will remain after a judge in New Jersey dismissed a lawsuit challenging the state’s permittance of tobacco use on the gaming floors.

Atlantic City casino smoking New Jersey
A gambler plays a slot machine while smoking a cigarette at Ocean Casino Resort in Atlantic City on Nov. 29, 2023. A New Jersey judge has ruled that casino smoking does not violate protections afforded to workers under the New Jersey Constitution. (Image: AP)

New Jersey’s 2006 Smoke-Free Air Act banned indoor tobacco use in most indoor places other than private residences. The law provided some exemptions, with licensed casinos in Atlantic City being allowed to designate up to 25% of their gaming areas for tobacco use.

The United Auto Workers, which represents table game dealers, workers who are most exposed to secondhand smoke, and CEASE — Casino Employees Against Smoking’s Effects — challenged the 2006 law on the grounds that casino workers’ rights to personal health safety protections under the New Jersey Constitution were being violated. New Jersey Superior Court Judge Patrick Bartels disagreed in dismissing the claim.

“Because of the publicly known risks of secondhand smoke, that smoking has never been banned in casinos except for a short period during COVID-19, that the Smoke-Free Air Act’s exceptions only affect a few industries, and that the Smoke-Free Air Act does not hinder or affect a person’s ability to seek work in a smoke-free environment, it cannot be said that the New Jersey Legislature’s actions in providing exceptions to the Smoke-Free Air Act restricts the casino workers’ right to pursue safety under the New Jersey Constitution,” Bartels wrote in his opinion published Friday.

Each of the nine casinos in Atlantic City takes advantage of its smoking allowance. Critics say smoke knows no boundaries and dangerous, toxic secondhand smoke permeates the casino areas.

Odds Favor Appeal 

Attorney Nancy Erika Smith argued on behalf of CEASE and the UAW. She said an appeal to the New Jersey Supreme Court is forthcoming.

While the rest of the nation moves away from poisoning workers for profits, New Jersey shames itself,” Smith said. “As long as the governor, the legislature, and the courts allow the extremely rich casino industry to poison its workers, we will continue our fight.”

CEASE cofounder Lamont White said the “fight is far from over.” White hopes the court ruling will bring more enthusiasm to Trenton for state lawmakers to support bipartisan legislation to amend the Smoke-Free Air Act to rescind the casino smoking exemption.

Legislation last year in each legislative chamber had more than enough cosponsor support to force the casinos to go smoke-free. But Democratic leadership reportedly stalled the measures because of the November 2023 election where all 120 seats were on the ballot.

However, after retaining their majority in both chambers, the smoking bills still didn’t progress. Some of the 2023 support was subsequently lost after the casino industry, as well as a union that represents casino workers in nongaming roles, said a smoking ban would cost thousands of jobs and possibly result in a casino closing. 

Casinos Celebrate

For now, Bartels’ ruling is a win for the nine Atlantic City casinos. The retaining of smoking comes as Atlantic City’s casinos last week revealed that their operating profits slid nearly 2% in the second quarter despite increased revenue.

We are gratified by the court’s decision to dismiss the plaintiff’s complaint and deny its attempt to change the Smoke-Free Air Act outside of the legislative process,” said Mark Giannantonio, president of Resorts Casino and the Casino Association of New Jersey. “We look forward to continuing to work with stakeholders towards a solution that addresses the health concerns of our employees, while also protecting the collective interest and well-being of the entire Atlantic City workforce.”

Commercial casinos/racinos operate in 28 states. Seventeen allow indoor smoking.

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Borgata Hotel Incident Leads to Large Atlantic City Police Presence, Partial Evacuation

Numerous local police officers rushed to Atlantic City’s Borgata Hotel Casino & Spa late Thursday afternoon after a guest claimed to have a bomb and firearms.

Police respond to Borgata Hotel Casino & Spa
Police respond to Borgata Hotel Casino & Spa, pictured above. No bombs nor armed suspects were found in the Atlantic City hotel despite the rumors. (Image: WPVI)

The incident began at 3:55 p.m., when the Atlantic City Police Department (ACPD) got a phone call from a man who said he was in the Borgata. He said he was armed with firearms and an explosive device.

Social media posts further claimed that a person had barricaded himself in a hotel bathroom. He was threatening to shoot up the property, according to the online rumors.

But the rumors couldn’t be confirmed as of 7 p.m. Thursday, according to BreakingAC, a local news site.

Acting quickly, ACPD officers and Borgata security guards searched the large property. Portions of the complex were evacuated.

No Arrests

No suspect had been apprehended as of late in the afternoon. Neither a firearm nor explosive device were located.

Later in the day, police were still trying to confirm if the threat was valid.

But BreakingAC did report the Atlantic City Bomb Squad responded to the hotel-casino.

More than a dozen police vehicles also were seen outside of the hotel. TV news helicopters were flying over the neighborhood.

Officials remain tight-lipped on what was transpiring.

It appeared that many entrances to the complex were blocked, out of a concern about safety, according to initial news reports.

Cops rushed inside the MGM Resorts International-operated hotel, too. Traffic was being rerouted to nearby roads.

To calm the fears of those in the building, and nearby, the ACPD issued a late-afternoon statement.

There is NO active shooter,” ACPD Capt. Kevin Fair said in the online message to the public.

Partial Evacuation

“Out of an abundance of caution, portions of the building were briefly evacuated,” the ACPD statement also revealed.

Patrons have … since been allowed back in the building and law enforcement has cleared the scene.”

ACPD officers expect to issue a further update later on Thursday night.

Businesses inside the complex remained open, according to Philadelphia TV station WPVI.

The hotel has 2,798 rooms. It opened on July 2, 2003. Developed through a partnership with Boyd Gaming, MGM bought out Boyd’s 50% stake in the casino. The property is owned by Vici Properties.

Last year, it was announced Borgata’s Water Club was getting renovated. The hotel tower’s more than 700 guest rooms, and suites, were being refreshed.

Borgata is the longtime brick-and-mortar casino leader in Atlantic City.

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Atlantic City Kicks off Summer Season Strong, May Casino Revenue Climbs Five Percent

Atlantic City casinos experienced a robust start to its summer season, loosely defined as Memorial Day through Labor Day.

Atlantic City casino revenue New Jersey
Temperatures are rising in Atlantic City and the gaming action is heating up, too. May 2024 retail gross gaming revenue down the shore in New Jersey totaled $239.1 million. (Image: Shutterstock)

Gross gaming revenue (GGR) at the nine brick-and-mortar casinos in May 2024 totaled $239.1 million, a 5.2% year-over-year improvement. Revenue from retail slot machines increased 4.8% to $181.2 million while table game hold jumped 6.4% to $57.9 million.  

The casinos’ partnered iGaming platforms continued to grow their businesses. Online slots and tables, plus rake from poker games, totaled $192 million, 19% better than May 2023. Oddsmakers were the lone vertical in the red, as sports betting win fell 4.2% to $78.7 million.

In total, New Jersey’s gaming industry generated GGR of nearly $510 million last month, an 8.3% betterment.

Atlantic City’s total gaming revenue in May showed continuing stability with positive results in all three components — casino win, internet gaming win, and sports wagering revenue,” said James Plousis, chair of the New Jersey Casino Control Commission. “Casino win recorded its best May result in eleven years, aided by the best slot machine win since 2012.”

The $192 million won by online casinos represented iGaming’s second-best month ever in the Garden State.

Market Momentum

Plousis told Casino.org that statewide GGR from January through May totaled $2.567 billion, 13.1% richer than the same five-month period in 2023. He said this year was the industry’s fastest ascent in eclipsing $2.2 billion in GGR in more than a decade.

May also provides optimism for the beach town as schools let out and families begin the summer vacation season.

“May provided a promising start for the summer season and positive momentum has been building,” Plousis said. “Consumer interest has been strong, driven by must-see unique investments recently made in the casino hotels.”

Plousis concluded by saying the diversified casinos “are providing abundant reasons for summer tourists to visit and stay.”

Though revenue is increasing, gaming analysts say Atlantic City’s casinos remain under difficult operating conditions.

While revenues increased, so have expenses, and while revenues for the month and year-to-date compare favorably to prior periods, they may not translate into similar increases in gross operating profit down the line,” Jane Bokunewicz, director of the Lloyd D. Levenson Institute of Gaming, Hospitality, and Tourism (LIGHT) at Stockton University, told the Associated Press.

“Inflation impacts both operators, in the form of costs of goods and wages, and consumers, in the form of prices. So, it is especially interesting that, even in times of inflationary pressure, consumers still seem willing to spend their discretionary money with New Jersey’s casino operators,” Bokunewicz explained.

Borgata Dominating Market

MGM Resorts’ Borgata in the city’s Marina District has long been the top-performing casino in Atlantic City.

Borgata extended its stronghold in May with $61.4 million in revenue on its physical floor, $43.9 million from its iGaming partners, and $5.6 million from its sportsbooks for a combined haul of approximately $110.9 million.

Resorts was second at combined GGR of $84.9 million, with the bulk of the casino’s win — $71.4 million — coming from its online gaming and sports betting operations.

As for brick-and-mortar GGR, Borgata’s $61.4 million lead was followed by Hard Rock with $49.9 million. Ocean was third at $32 million, Tropicana was fourth at $20.1 million, Harrah’s was fifth at $18.2 million, Caesars was sixth at $18 million, Resorts was seventh at $13.6 million, Golden Nugget was eighth at $13.5 million, and Bally’s was the bottom feeder at $12.4 million.  

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Atlantic City Boardwalk Allocated $20M for Repairs, Preservation

The Atlantic City Boardwalk will undergo a $20 million repair to preserve the iconic waterfront promenade that dates back to 1870.

Atlantic City Boardwalk repair New Jersey
The Atlantic City Boardwalk is seen in a 2019 file photograph. The Boardwalk is set to undergo a major repair made possible by a $20 million grant. (Image: Getty)

On Friday, New Jersey Gov. Phil Murphy (D) announced $100 million in funding for 18 municipalities to assist the local governments in addressing capital needs to restore their boardwalks. Atlantic City, the casino capital of the East Coast, received the most money with a $20 million grant.

So many of us have created memories with family and friends at the boardwalks of the Jersey shore. Our boardwalks have long been a prized destination and we want to keep them that way by helping shore communities repair and maintain these wooden main streets,” Murphy said. “The grant awards announced today are a meaningful step in preserving the health and dynamism of these special places.”

The $100 million comes from leftover money the state received through the American Rescue Plan — the federal funding measure crafted as an economic stimulus program.   

Boardwalk Restoration

Atlantic City’s Boardwalk is said to be the oldest in the nation. Originally designed to keep sand out of the beach’s neighboring hotels, “America’s Oldest Boardwalk” spans 5.5 miles and is about 60 feet wide making it among the world’s largest boardwalk structures.

The Boardwalk was about seven miles long until the 1944 Great Atlantic Hurricane. The devastating Category 5 storm destroyed the southern end of the Boardwalk where it previously stretched through Margate City. Today, the Boardwalk ends at Fredericksburg Ave. in Ventor roughly 2.5 miles south of Tropicana, the southernmost casino in Atlantic City.

The $20 million grant will be used to restore the historic landmark. The state release said the money will fund the replacement of old and crumbling decking and deteriorating pilings with more resilient, longer-lasting materials. The project will also result in improved access with ADA-compliant ramps and railings.

We recognize that boardwalks are the economic driver for many shore towns and cities. They are also incredibly expensive for local governments to maintain, repair, and strengthen,” commented Jacquelyn Suárez, the acting commissioner of the New Jersey Department of Community Affairs.

“To support this significant state asset, the Murphy Administration created the Boardwalk Preservation Fund to ease the financial burden on local governments when improving their boardwalks. We are confident these grant awards will help our boardwalks thrive and continue to inspire and delight visitors for years to come,” Suárez added.

Critical to Casinos

The Atlantic City Boardwalk is a critical piece of infrastructure for six of the town’s nine casinos. Many guests walk the pathway during the warmer months to access adjacent resorts.

The Boardwalk provides a safe walkway for such pedestrian travel and connects Ocean Casino, Hard Rock, Resorts, Bally’s, Caesars, and Tropicana. Walking from Ocean on the Boardwalk’s northern end to Tropicana is a roughly 1.75-mile hike.

Atlantic City casinos generated brick-and-mortar gaming revenue of $2.84 billion last year, a 2.2% year-over-year increase from 2022. The casinos are concerned about the year ahead, as lawmakers in Trenton consider legislation to force the nine casinos to go smoke-free.

Along with the six Boardwalk casinos, Atlantic City’s Marina District is home to three casino resorts — Borgata, Harrah’s, and Golden Nugget.

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