Everyday the global gambling industry is losing money because of the coronavirus and Atlantic City is no exception. Currently, all casinos in the U.S. are shut down leaving thousands of casino workers without a job. One of the areas is in New Jersey where, 16,000 Casino Employees in Atlantic City are Out of Work.
Unfortunately for many casinos, they do not have enough money in the bank to keep paying their employees. Therefore, they had to fire their workers so they could file for unemployment compensation. However, according to online casino news, Atlantic City casinos will rehire them again once they are open again.
Impact of the Coronavirus on the Gambling Industry
The major stock indexes around the world are all taking a hit from the coronavirus. In the U.S. alone, the major stock exchanges have lost 28.4%, 19.1! and 23.2% respectively since January. Furthermore, gambling stocks have seen a 48.6% decline since January of 2020. Therefore, gambling sticks are in jeopardy.
In Atlantic City, casinos were ready to offer compensation to their employees. However, as the situation is getting worst, the instead chose to fire them and then rehire them. Unfortunately for casinos employees, this means they will not longer have access to health insurance.
In other countries, the situation is the same. Some companies are using the same hire and rehire methods while other are placing their workers on furlough. Some casinos are expanding their online casino offerings which include online casinos in Korea.
According to casino forums, several countries and companies are reporting an increase in online gambling. India for example, says that they are seeing a major increase in online gambling because of the coronavirus. Other online sportsbooks are reporting that online slot machines are doing especially well. However, analysts do not think the rise in online gambling will be enough to save employees from losing their jobs.