Despite record-breaking gaming revenues, Las Vegas casinos are shrinking due to growing expenses, union contracts, and an increased dependence on artificial intelligence. Layoffs are increasing as operators seek leaner, technology-driven operations.
Las Vegas casinos are counting on tighter operating budgets as the post-pandemic boom fades and turns into a trickle of layoffs.
Even as the country gambles at all-time highs, casino personnel face job losses.
“This seems to be part of a long-term trend to try to keep leaner operations that began during the [Great] Recession,” Amanda Belarmino, an assistant professor at the University of Nevada at Las Vegas’ College of Hospitality, told the Las Vegas Review Journal. “Casinos tend to try to find ways to make strategic cuts that will not impact service quality.”
However, following the damage caused by the COVID-19 pandemic, the Las Vegas Strip has seen a recovery that exceeds the pre-pandemic GDP from 2021.
Continue Reading: Missouri Casino Earnings Grows 9% Year on Year
Although earnings from the casino business in Nevada and the Las Vegas Strip fell in 2024, mostly as a result of new union contracts and almost 6,000 additional hires throughout the state, revenues still hit a record high of $31.5 billion.
In 2024, the gambling business rose for the fourth consecutive year, reaching $71.9 billion in revenue nationwide. However, a large portion of this growth has been ascribed to the internet gaming sector.
The Las Vegas Strip is concerned that as technology develops, human workers may eventually be replaced.
Following repeated rounds of layoffs, MGM Resorts recently eliminated concierge positions in six of its nine Strip properties, laying off several dozen workers. More than 70,000 chats are managed by MGM Resorts’ digital concierge service each month.
Artificial intelligence operations have also grown on the Strip. According to Business Insider, AI is being used to assist create optimum floor designs in casinos as well as track gambling activity.
Courtesy:Â https://igamingexpert.com/, https://www.igbnorthamerica.com/, https://gamingamerica.com/news/
