MGM Resorts International has been working hard to increase its revenue figures while maintaining a safe environment in its casinos for patrons and employees. This company is now deciding to take a major step in its attempts to keep things as safe as possible. Today, we’ll discuss the details of MGM Resorts’ vaccine rule.
More casino companies across the country are being forced to make difficult decisions with regard to the pandemic. It’s an unusual situation for this industry, to say the least.
Here’s a look at what exactly is happening with MGM Resorts.
MGM Resorts’ Vaccine Rule is the First of its Kind for Casino Companies
Most of the world’s most powerful casino companies are based in the United States. That includes MGM Resorts International, founded back in 1986. This casino operator has expanded over the years and now owns successful properties around the world. That includes many popular casino-resorts in Las Vegas.
Throughout 2020, MGM Resorts experienced massive revenue losses. This company certainly wasn’t alone with those losses. Most casinos around the country were shut down for months in 2020 and all major gaming operators experienced huge monetary drops throughout the year.
MGM Resorts managed to stay afloat, due in part to its successful online gambling operations. Things have turned around massively for this company in 2021. Land-based casino revenue has been surging and casinos are reporting record revenue gains almost every single month.
Covid-19 infections have been rising around the country due to the new Delta variant. As a result, casino companies have been forced to look into adding new restrictions to protect their patrons and employees. That includes MGM Resorts International, which just recently announced that all of its employees now need to receive the Covid-19 vaccine.
MGM Resorts’ vaccine rule is the first of its kind for casino companies. MGM Resorts spokesperson Brian Ahern spoke about the company’s decision earlier this week.
“Our goal is to get as many people vaccinated as possible,” Ahern said. “We’re continuing to explore a variety of ways to do that, including expanding vaccination requirements among our workforce. This is an incredibly complex situation and we’re examining how expanded policies would potentially work and be implemented.”
Will this lead to more casino companies implementing intense Covid-19 restrictions?
Casinos Face More Pressure to Implement Health Restrictions
For a time, it seemed as if the United States had turned a corner with the pandemic. Cases were dropping quickly and hospitalizations were lower than ever. Things have begun to devolve once again, however, and many states are once again reporting large spikes in their infection rates.
This is making it difficult for casinos around the country. These properties were exposed last year for their inability to adapt. When tourism stopped, many of the most powerful casino companies around the country saw their revenue figures plummet.
There is now real pressure on many of these companies to begin setting new health restrictions in place. Some are already choosing to do so. That includes Caesars Entertainment, which recently announced it is now requiring patrons to provide either proof of vaccine or a negative PCR test to enter its Harrah’s New Orleans property.
MGM Resorts’ vaccine rule is another example of the changing times. All employees will need to submit proof of a vaccine in order to remain with the company. Some feel many other gaming companies will take this step within the next few weeks.
Las Vegas is now requiring masks to be worn at all times inside casinos. Some feel capacity limits and the closure of certain indoor venues could be around the corner. Gaming analysts are interested to see how the casinos here respond to these new rules.
There is still positive news coming from the US gambling industry. Assuming nothing dire happens, this industry remains on track to break all-time records.
Casino and Sports Betting Revenue Continue to Surge
The US gambling industry has been expanding rapidly over the past few years. That is particularly true for the sports betting industry. More than half the country now has a sports gambling industry set in place helping to bring in a huge amount of revenue each month.
2021 is shaping up to be the best year in history for the entire US gambling industry. The year’s second quarter proved to be the most successful in history. Gambling hubs across the country reported massive gains in their sports betting and casino revenue figures.
The American Gaming Association reported that 22 out of 25 states showed revenue gains when compared to the second quarter of 2019. Several of these states saw double-digit gains. There is a strong indication that overall revenue from the US gambling industry will surpass the $44 billion mark.
The start of the 2021/2022 NFL season should help to fuel revenue growth. This season is already expected to be the most-wagered-on in history. Several more states are working to launch their first sportsbooks by the start of the regular season.
Casinos will need to decide how to best approach the rise in infections around the country. Hope is that improvements are seen in the coming months. We’ll be sure to offer updates as the year goes on.
What do you think about MGM Resorts’ vaccine rule? Do you expect more casino companies to implement this measure? Let us know in the comments section below!