Indy Gaming: Why Culinary is focused on a Swedish gaming equipment company
The Culinary reached a tentative contract agreement with The Venetian last week and the union is seeking similar agreements with Virgin Hotels Las Vegas, Fontainebleau and the Sphere.
So why does the Culinary care about a workers' strike in an Eastern European country that was once part of the Soviet Union? Read on.
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As they do at practically every Nevada gaming regulatory meeting, representatives of Culinary Union Workers Local 226 offered a few minutes of remarks during the public comment session at last week’s Nevada Gaming Commission meeting in Las Vegas.
The target, however, wasn’t the union’s usual focus — Red Rock Resorts and its Station Casinos operating division.
Instead, Culinary representative Rory Kuykendall focused on a Swedish company set to buy Galaxy Gaming, a small Las Vegas-based table game provider that doesn’t have any relationship with the union.
In a statement Friday, Culinary Union Secretary-Treasurer Ted Pappageorge said the labor organization wanted to bring a dispute involving the Swedish company to the attention of Nevada gaming commissioners, who will ultimately have to approve the sale.
Galaxy announced last month it was being acquired by Evolution AB for $85 million in an all-cash deal. Galaxy has 25 million shares outstanding and is traded on the over-the-counter market, most recently at $2.80 per share. The company told investors it expects to produce $29 million and $30 million in revenue in 2024.
Evolution, which is licensed and regulated by the Malta Gaming Authority, has a large presence in the Republic of Georgia, a transcontinental country bordering Eastern Europe and West Asia. It also has a U.S. presence, providing live table games for online casino operators in the U.S., including DraftKings and Hard Rock Casino.
An estimated 5,000 Georgia-based employees of Evolution have been on strike since July. Several workers started a hunger strike earlier this month.
Papageore requested the gaming commission reject Evolution’s license application in Nevada if the company “continues to refuse to treat its employees with respect and provide for decent wages and safe working conditions.”
As of Monday, according to a Gaming Control Board spokesman, Evolution does not have an application on file with the agency.
Culinary spokeswoman Bethany Kahn said UNI Global, a federation of gaming industry unions, asked them to highlight the issue to Nevada gaming regulators.
“The Culinary Union offers solidarity to the Evolution workers in Georgia and asks the Nevada Gaming Commission to take into consideration the labor practices of this company,” Pappageorge said in a statement.
Galaxy has more than 130 licenses worldwide for different table game titles as well as side wagers and bonus enhancements to traditional table games including blackjack, baccarat, craps and roulette.
In its July 18 announcement, Galaxy Gaming said Evolution would retain the company’s management, employees and the gaming equipment provider as a separate and independent subsidiary.
Galaxy CEO Matt Reback said in the July statement the sale would allow the company to increase its global reach while empowering it to “sustain and maintain its independence while continuing to focus on growth and expanding its operations.”
A spokeswoman for Galaxy said company representatives declined to comment on the matter.
The company’s board of directors is chaired by Mark Lipparelli, a former state senator and one-time chairman of the Nevada Gaming Control Board whose management company operates the Westgate Las Vegas. Galaxy board member Gavin Isaacs, a longtime gaming industry executive, is leaving the board Friday to become CEO of Entain Plc.
BetMGM makes it easier for Nevada customers to wager in other states
BetMGM customers from Nevada can now use their mobile sports betting app in other states without opening new accounts.
The company, a 50-50 venture between MGM Resorts International and Entain Plc., launched a single-account digital wallet that eliminates the need to have multiple BetMGM accounts for different states. BetMGM is available in 30 states — including Nevada — and provinces across North America.
However, BetMGM users from outside of Nevada still need to register in person at an MGM Resorts International property — as required by Nevada law.
For Nevada customers with registered accounts, the app automatically provides a pop-up message any time they arrive in another state where BetMGM is legal, allowing them to switch their account to that location.
“Your bets, your money, your account credentials all travel with you,” said BetMGM CEO Adam Greenblatt, noting they had been working on the program for almost two years.
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