The Mohegan Sun Casino in Connecticut, the second largest land based casino in the United States, is to let more than 300 of its almost 8000 employees go. The casino is run by the Mohegan Tribal Gaming Authority and its chief executive officer Mitchell Etess recently stated that due to an “ amazing decline in business” the Authority had no choice but to let people go. Workers at all levels of the casino will lose their jobs.
Almost 290 will be let go straight away with another 46 losing their positions when a restaurant in the casino resort closes at the end of next month but the restaurant will reopen and be managed by a new company. The casino has recently also lost its chief executive officer who will be replaced by the chief executive officer of the other Mohegan Sun casino at Pocono Downs.The Mohegan Sun Casino flourished for many years but recent developments of casino resorts in neighbouring states may have led to a reduction in business in the casino and online gaming could also have an effect on revenue.
The Foxwoods Resort Casino in Connecticut and run by the Mashantucket Pequot Tribe is also suffering likt the Mohegan Sun from the economic crisis and the possible loss of custom to recently opened casino resorts such as the Resorts World Casino in New York City which opened last autumn. The Revel Casino Resort in Atlantic City which opened in April may also be having an effect on the loss of income in the Mohegan Sun Casino.These employment losses are the second time in recent years that the Mohegan Sun Casino has let hundreds of employees go. In 2010 about 350 people lost their employment but mainly in the restaurant sector of the casino resort. There has been a decline in income from slot machines which would be a major source of revenue for the casino. In order to rectify these losses the Mohegan Tribal Gaming Authority has recently refinanced over 1 billion dollars until 2015.