Casino news source: Fort Wayne Journal Gazette - http://www.fortwayne.com
Planned layoffs at Evansville casino
Following is the text of a letter Evansville Mayor Jonathan Weinzapfel sent to Ernie Yelton, executive director of the Indiana Gaming Commission, regarding the riverboat casino in Evansville:
Columbia Sussex has informed me that they intend to lay off 70 additional employees from Casino Aztar in the very near future. As you know, this action comes less than a mere six months after the company was granted transfer of the gaming license.
I have been informed that the layoffs are as a result of decreased revenue and increased competition from French Lick Resort & Casino (“French Lick”).
However, it is my understanding that business has only decreased by about 3 1/2 % since French Lick opened in November 2006. Importantly, the 70 employees Casino Aztar intends to lay off are in addition to the 167 employees since June 2006. Columbia Sussex committed to the City of Evansville (“City”) and the Indiana Gaming Commission (“IGC”) that, at most, it would eliminate 20 positions due to duplication between its Fort Mitchell, Kentucky, headquarters and Evansville.
This announced layoff of 70 workers is in addition to that 20.
I voiced concern about Columbia Sussex’s commitment to this very issue during the November 2006 hearing before the IGC. Thus, I am asking the IGC to conduct an investigation into this matter. Do these additional layoffs contradict Columbia Sussex’s previous commitment, made either publicly or confidentially, to the IGC and the City, and call into question their suitability to hold a license in the State? Is this indicative of a business model that will not produce successful results for the City or the State?
I ask that you very seriously consider my request for an investigation. This is a matter of critical importance to the City, its residents and the State as a whole. I look forward to hearing from you. |
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