Cost-of-living crisis hits casino operator SkyCity, hundreds of jobs at risk
SkyCity said it was reviewing its operating model amid "sustained pressure on customers' discretionary spending".
SkyCity, the prominent casino operator, is contemplating a restructuring that could put up to 200 jobs in jeopardy, according to recent reports. The company attributes this decision to the ongoing cost-of-living crisis and economic pressures. In its statement, SkyCity revealed that the restructuring would primarily impact its Auckland precinct, where it currently employs around 2,860 staff members, as per its annual report from the previous year.
Consultations regarding the proposed changes commenced on Tuesday and are set to continue for the next two weeks. SkyCity's CEO, Jason Walbridge, emphasized the need to reassess the company's operating model due to the sustained strain on customers' discretionary spending. Factors contributing to this pressure include the ongoing fuel crisis and the cost-of-living challenges faced by residents on both sides of the Tasman Sea.
Walbridge acknowledged that the company must make difficult choices to reshape its operations and become a simpler, smarter, and more connected entity. However, he stressed that any changes would be made in consultation with affected staff and their representatives. The company has not yet finalized any decisions, and Walbridge reiterated that the company's priority remains supporting its employees through any changes and building a stronger SkyCity.
Unite Union, which represents SkyCity's workforce, commented on the proposed job cuts. The union's assistant secretary for Auckland, Tali Williams, expressed concern over the majority of the proposed layoffs affecting corporate functions, while some front-line staff would also be impacted. Williams criticized SkyCity for its profitability, suggesting that the company can afford to retain employees during challenging economic times.
She emphasized that behind every redundancy, there is a person, a household, and a family budget affected. Williams urged SkyCity to consider the hardships faced by its workers who are already grappling with the high cost of living and a difficult employment market.
Written by urgent.news from RNZ Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
