Las Vegas Sun

April 28, 2024

Culinary, MGM agree on new 5-year deal to avoid Strip strike

Culinary and Casinos Still in Contract Negotiations

Steve Marcus

Jennifer Black, a guest room attendant at the Flamingo, speaks during a break in contract negotiations between the Culinary Workers Union, Local 226, and Caesars Entertainment at the Horseshoe Tuesday, Nov. 7, 2023. Ted Pappageorge, secretary-treasurer for the Culinary Workers Union, Local 226, listens at left.

Updated Thursday, Nov. 9, 2023 | 10:18 a.m.

Culinary Union Local 226 has agreed to a tentative five-year contract for hospitality workers at MGM Resorts International properties in Las Vegas, union officials said this morning.

The agreement, which covers more than 25,400 workers at eight Las Vegas Strip casinos, was announced 23 hours before a 5 a.m. Friday strike deadline.

The deal, which still must be ratified by members, includes the largest wage increases ever negotiated by the union, workload reductions for guest room attendants, mandated daily room cleaning and increased safety protections for workers, the union said.

It also includes expanded technology contract language, extended recall rights, and the right for unionized workers to support non-union restaurant workers seeking to unionize through picketing, leafletting and other actions, the union said.

"After 7 months of negotiations, we are proud to say that this is the best contract and economic package we have ever won in our 88-year history," Ted Pappageorge, secretary-treasurer for the Culinary Union, said in a statement.

The union said it would not disclose specifics of the contract until members had a chance to see the full details and vote on it.

The concessions are similar to those announced Wednesday in a tentative deal with Caesars Entertainment, where union members have also been working since April on an expired contract. The union and Wynn Resorts, where workers also don't have a contract, have a meeting scheduled for today.

“Our employees are the heart of our company and the driving force in the success we’ve enjoyed in Las Vegas post-pandemic," MGM President and CEO Bill Hornbuckle said in a statement.

"We’re pleased to have reached a tentative agreement that averts a strike, gives our Culinary Union employees a well-earned boost to pay and benefits and reduces workloads — all while continuing to provide opportunities for growth and advancement," Hornbuckle said.

The threat of a strike has been looming over Las Vegas as it prepares to host next weekend's inaugural Formula One auto race, a major event with major economic implications. The Culinary Union has not staged a strike in Las Vegas in more than 20 years.

The new MGM contract covers workers at the Aria, Bellagio, Excalibur, Luxor, Mandalay Bay, MGM Grand, New York-New York and Park MGM.

A ratification vote will be scheduled soon, the union said. A joint statement announcing the deal included prepared comments from workers praising the proposed contract.

"This contract is the best contract ever," said Margaret Jaramillo, a food server at the MGM Grand. “My co-workers and I worked so hard for months in negotiations to win the highest wage increases we’ve ever had."

Shaleah Taylor, a guest room attendant at the Aria, said the negotiated reduction in workload "will help me have a more manageable day and more energy for my family when I get home from work. With these new wage increases, I can feel secure knowing that I can provide for my four children and my elderly mother who lives with me.”