Las Vegas Sun

August 20, 2024

Union protections ease transition for Mirage workers as closing nears

Mirage Employee: Gabriel Fuentes

Steve Marcus

Gabriel Fuentes, a barista at the Starbucks in the Mirage, poses outside the casino Wednesday, July 3, 2024.

Mirage Employee: Gabriel Fuentes

Gabriel Fuentes, a barista at the Starbucks in the Mirage, poses outside the casino Wednesday, July 3, 2024. Launch slideshow »

Gabriel Fuentes came to the Mirage in 2021 from the MGM Grand, where he had been a barista for a Starbucks in that venue. His move to the Mirage, which was under MGM Resorts International ownership at the time, was prompted by his promotion to lead barista, or floor supervisor.

Although a leap essentially from working on one end of the Las Vegas Strip to another may seem daunting to some, Fuentes said his co-workers at the Mirage Starbucks made the change easy.

“All the employees there are like family,” he said. “So when I got there, I was welcomed with open arms, and everyone was just so nice and so kind, and they welcomed me — no problems, no questions asked.”

In 2022, only about a year after Fuentes started his new role at the Mirage, the property was sold as part of a more than $1 billion cash transaction to Hard Rock International, which is owned by the Seminole Tribe of Florida.

Now, the Mirage is less than a week away from shutting its doors for a property-wide renovation and rebranding effort. The more than 30-year-old resort will close Wednesday to start a lengthy transformation into the Hard Rock Hotel & Casino and Guitar Hotel Las Vegas, with an expected reopening in spring 2027, officials have said.

“It caught me by surprise,” Fuentes admitted, when asked about his initial reactions to the closure announcement.

His fears were ultimately quelled, however, by the knowledge that he and other members of the Culinary Union who work at the Mirage are protected by certain provisions in their contract, Fuentes said, which was obvious from the advanced notice they received — around two months before the closure.

He and other Culinary workers fought hard for the contract they’re currently benefiting from, he said, particularly ensuring it has a safety net during periods of closure or renovation like this one. And now, Fuentes said, he and his co-workers can leave the property knowing they are secure financially, emotionally and mentally.

“Casinos are constantly wanting to rebrand their properties and their operations and all that,” he said. “And the reason I fought for my contract is because I want to be part of that conversation — or a part of that movement, if you will — if they do decide to close, because they have to involve the union if they decide to close.”

There were two options available to him because of his union contract, Fuentes said. “Option A” was to receive $2,000 for every year of service, six months pension and six months medical insurance, but not a recall to work when the resort reopens in about three years.

“Option B” involves a lesser amount of money for years of service, but a guaranteed return to work when the property reopens, as if it had never closed, he said.

“This was a very hard decision for me,” said Fuentes, who went with Option A. “Originally, I thought about returning, but then I thought, ‘I don’t know what’s going to happen in three years.’ … I actually might find a career that I enjoy within that three years.”

Those who opt for the same path as him could always reapply anew once the Mirage reopens as Hard Rock in a few years, he added.

The Culinary and Bartenders unions represent about 1,700 workers at the Mirage, more than 100 of whom have been there for the 35 years since it opened, said Ted Pappageorge, secretary-treasurer of the labor unit.

It’s tough to see any property like the Mirage close, he emphasized.

“The beautiful thing is that this company (Hard Rock International) — it’s going to remodel and reopen, and it’s going to be bigger and better than before, and we 100% support that,” Pappageorge said. “But it’s tough for workers that have put their entire career, some of them into one place, to see it closed down.”

For workers who follow in Fuentes footsteps and accept Option A, they can either find another job or, Pappageorge said, they could take an early retirement.

The union has previously said it would host events at its headquarters for Mirage workers, connecting them with unemployment resources, job fairs, benefits and more.

“The economy is back, and it’s strong,” Pappageorge said. “Business is booming in Vegas. It’s booming around the country. Visitation is up. And so, there’s opportunities for folks.”

Companies in Las Vegas get “bought and sold all day long,” Pappageorge said, which is why strong language to protect workers and their seniority in the event of a sale or closure is so important to the union.

The closure of the Mirage offers an opportunity for workers who have been there for decades to get a piece of the profits they helped operators make, Pappageorge said.

There are a number of workers at the Mirage who are not represented by the Culinary Union, Pappageorge said, pointing to dealers and security and office workers.

“And one thing I do want to say is that, when ... we negotiate language like this for the union workers, it also helps the non-union workers too,” he said. “As a company then usually steps up to the plate for the nonunion workers, even though they don’t have to.”

Service-industry jobs like the ones that dominate Las Vegas are not unionized in many other cities, and are even considered “poor people’s jobs,” Pappageorge said. There’s little to no guarantee of job security, decent health care, retirement plans, etc.

“And when the company sells, they all get fired,” he said. “But in Vegas, it’s different.”

At the Mirage, most of Fuentes’ recent customers have said they were there to see the property one final time before its closure, and many said they had been coming to the Mirage since its opening in 1989, he said.

The reality of the closure is finally beginning to sink in for employees, as well. What made it click for Fuentes, he said, was the number of slot machines that have already been shut down on the casino floor.

“I’m like, ‘Wow, this is actually happening?’ ” said Fuentes, who described the overall environment as “somber but happy.” “(It’s) kind of a ‘pinch me’ moment. I didn’t think it was going to happen until I started seeing that.”

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