Closures affecting NJ economy
The American Gaming Association (AGA) reported that a two-month shutdown of the casino industry in New Jersey could result in a major drop in the state’s economic activity. As much as $1.1bn may be lost during that time frame, impacting employees and communities.
Last week, Governor Phil Murphy ordered the casinos in Atlantic City to close due to the COVID-19 pandemic. The goal is to practice social distancing and self-isolation to slow the virus spread. Gambling establishments will remain closed until the environment is deemed safe for reopening. In the meantime, online gaming will continue.
Impact on the workforce
According to the AGA, the casino closures directly impact around 32,987 employees in New Jersey. AGA president and CEO Bill Miller called gaming an economic engine in the region. It employs millions of locals and generates investment in the community via tax revenues, as well as supporting small businesses around the country.
casino closures directly impact around 32,987 employees in New Jersey
Miller said: “The impact on our employees, their families and communities is staggering, and the implications extend far beyond the casino floor.”
Nationwide economic loss
Just a few days ago, the AGA reported that the COVID-19 had shut down as much as 94% of commercial casinos in the United States. According to VSO News, the association expects as much as $21.3bn in economic losses nationwide if the closure lasts for eight weeks.
as much as $21.3bn in economic losses nationwide
Hundreds of thousands of casino workers risk unemployment as the situation develops. The AGA is in discussions with hospitality sector officials to seek help for the casino industry at this time.
The AGA would like to see lawmakers assist casinos via a financial stimulus package. This form of aid would provide support to employees and their families along with communities affected by the coronavirus crisis.