'Historic Investment In Detroit's Future': Casino Workers Secure Tentative Deal For New Contract

MGM Resorts International's MGM MGM Grand Detroit and PENN Entertainment, Inc's PENN Hollywood Casino at Greektown, along with MotorCity Casino, have reached a tentative agreement for a new contract with the Detroit Casino Council that will cover 3,700 workers.

"This settlement is a historic investment in Detroit's future. This new contract brings together workers and employers in partnership to fulfill the gaming industry's promise to Detroit of high-paying casino jobs with good benefits," the Detroit Casino Council said in a statement. 

The five-year pact ended a month-long strike, the first casino strike in Detroit history. UNITE HERE Local 24, the UAW, Teamsters Local 1038, Operating Engineers Local 324, and the Michigan Regional Council of Carpenters represented most of the workers at the three casinos in Detroit.

Recently, Las Vegas hospitality workers' unions reached a tentative agreement with Wynn Resorts WYNN for a new contract covering 5,000 employees.

In the latest case, the negotiating committee pressed for higher wages to manage inflation and other job protections. 

“We fought to defend our healthcare and win historic wages, and we won,” said Terri Sykes, a dealer at MotorCity Casino for 24 years and president of UAW Local 7777. 

However, the unions will continue to strike until the members ratify the proposed settlement.

Price Action: MGM shares are trading lower by 0.32% to $40.08 on the last check Friday, while PENN shares are trading lower by 0.85% to $24.45.

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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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