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Wednesday, April 21, 2010 | 6:56 p.m.
Sun Archives
- Creditors attack Station Casinos bankruptcy plan (4-21-2010)
- Key lenders agree to Station Casinos reorganization plan (4-19-2010)
- Station Casinos asks judge for extension in bankruptcy case (4-8-2010)
- Station Casinos reports revenue drop in fourth quarter (3-31-2010)
- Station Casinos reorganization plan: Sell several properties (2-25-2010)
- Station Casinos reaches deal with key lenders, hopes to emerge from bankruptcy (2-25-2010)
- Bankruptcy judge urges Station Casinos, creditors to negotiate (1-25-2010)
- Fertittas seek to block creditors’ lawsuit in Station bankruptcy case (1-12-2010)
- Station Casinos bondholders want permission to sue (12-29-2009)
- Culinary Union sides with Station Casino’s creditors (11-23-2009)
- Culinary Union statement critical of Station Casinos (11-19-2009)
- Creditors want to expand probe of Station Casinos deal (11-19-2009)
A group of Station Casinos Inc. workers backed by the Culinary Union is objecting to Station’s reorganization plan, saying some employees including union supporters may lose their jobs as casinos change hands.
An objection was filed Wednesday in Station’s bankruptcy case by the “Informal Committee of Station Employees,” which says it consists of 10 employees from 10 Station properties and was formed to represent the interests of hourly employees in the case.
“No one who has appeared before in this case has taken the interests of these employees into account despite the great contributions they have made and continue to make to the survival and future success of the Station hotel-casinos,” said the committee’s objection, which was filed by Culinary Union and Bartenders Union attorney Richard McCracken.
“The (reorganization plan) provides no protection for them. It does not require that they be retained in any of the contemplated transactions. The Employees’ Committee therefore urges the court not to approve the plan unless retention of existing employees is part of it,” the objection states.
The Culinary Union, known for representing workers at large Las Vegas Strip properties, has been trying to organize workers at the locals-oriented Station.
Station owners the Fertitta family and Colony Capital have proposed that they invest in a new company that would own four “PropCo” hotel-casinos being foreclosed on by lenders and that would also own a fifth property.
These properties are Red Rock Resort, Sunset Station, Boulder Station, Palace Station and the Wild Wild West.
“On the PropCo side, the jobs of all existing employees at the PropCo properties are explicitly put at risk,” McCracken’s filing said. “The (plan) states that, after the plan becomes effective, New PropCo will provide its employees with ‘pay increases,’ restore the 401(k) match, and ‘other steps’ so that they will enjoy ‘competitive wages and benefits.’
“However, it is silent as to whether New PropCo will retain the approximately 6,300 current employees at the four PropCo properties so that they may enjoy the promised improvements as well as keeping their seniority, accrued vacation, and existing health insurance and other benefits,” McCracken’s filing said.
The Fertittas, Colony Capital and the PropCo lenders also plan to bid on 13 more “OpCo” gaming properties.
“With respect to the OpCo assets, the (plan) also offers no concrete provisions to protect existing employees. The assets for sale include thirteen casinos that employ approximately 5,300 employees,” the filing said.
“The Bidding Procedures Motion includes a detailed description of the debtors’ proposal for how to conduct the sale and likely auction of these properties. There is only one mention of workforce retention: a ‘Qualified Bid’ must be one that ‘contains any proposed measures associated with the continued employment of the employees,’ among other requirements,” the filing said. “This vague and ineffectual formulation would seem to allow anything from a simple promise to contemplate the possibility of retaining existing employees to a strong contractual requirement that all existing employees must be able to keep their jobs after the change in ownership. But even this vague language disappears in the next section on ‘Evaluation of Competing Bids,’ where workforce retention is not explicitly identified among the factors to be considered for evaluating qualified bids.”
Noting the Culinary Union has filed a complaint claiming Station has harassed union sympathizers, Wednesday’s motion said: “For all the current Station employees, on either the PropCo or OpCo side, the (reorganization plan) offers no job security even as it proposes sweeping ownership changes to all of Station’s casinos. This is hardly a proposal to maintain morale and inspire confidence among Station’s more than 11,000 employees.”
“These transactions might be used as opportunities to weed out union supporters,” the filing said.
The workers’ filing said the bankruptcy court should order the debtor “to stop its illegal, anti-union campaign” and should require that any sale include a provision requiring the retention of employees as the union says was done in the Aladdin (now Planet Hollywood) case.
Station, which has denied wrongdoing in its dealings with the union, hasn’t yet responded to the workers’ filing.
this is big news back in 1947.
If the employees are being overpaid to the point the business can not survive they *should* "start over" and get new employees that are paid a more competitive, reasonable, and fair salary. The unions pick the most ridiculous time to protest a company, it seems... like when it is not fiscally viable with its current debt and payroll obligations. Unions can point to greed if they want but it's at the heart of what they are fighting for, as well.
No company should pay a premium for employees above what is competitive in the market place, and in particular, they shouldn't when they can not afford it and keep the doors of the company open. In that case, no one would have a job.
Last i heard in the newspaper, there were "at least" 17,000 Union Members out of a job. Yet still they must pay their dues even without an income. If they dont have any money, no worries. The union will be more than happy to put it on your tab and when you ever do get a job, its time to pony up and pay all the back dues!!
Shouldnt the Union be trying to get them all jobs somewhere versus trying to obtain new members??
The union is nothing more than a business. "Show me the Money" is their motto. Nothing more and nothing less! Care for their members? Pleaseeeee!
Looks like Steve Green drew the short straw this week; now he's writing propaganda pieces for the Culinary Union?! Sorry, Steve, but I don't exactly see a Pulitzer in your future for THIS earth-shattering and monumental endeavor in the spirit of journalism...
My first reaction to this fear-inspiring headline was, "My God, ANOTHER bunch of entitlement-minded, whining, and ungrateful group of opportunists are looking for a hand-out from our employer, even as we seem to be pulling out of this bankruptcy?! How can this be so?".
Then I read paragraph two, and I've been laughing out loud ever since...
C'mon, Steve:
Ten people?
(10? I mean, tell me that's a typo, and that a couple zeroes were left off, PLEASE?!)
We all KNEW the Culinary Union is FAMOUS for making up lies in their ridiculous attempts to extort money from us and our employer, but this is well, embarrassing, even for THEM!
Without the Unions and their pension funds this city would have never been built. Say what you want, but non-union jobs suck. That's why all those people are always trying to get on with a union company. Everyone complains about the unions...until they get a union job! Then they love it! Don't start telling me about all the laid off union construction guys. That is the nature of the business they chose to go into! When you're building something, eventually you finish it! If there is nothing to be built. Then there is no jobs. Duh.
No corporation anywhere thinks how they can appease the unions before they start a business, Duh! Do you know how stupid you sound that the unions built this town? I never got a job in my life from a poor person, but I've seen unions make corporations cash poor. So proud union member, there is no jobs. Duh!
I didn't love my union job. The rest of your post I can live with.
The employees should feel willing to approach management and let them know they will stay on at a lower pay rate if a reorganization takes place - IF that's how the employee feels.
During tough economic times this might be a position some people would prefer to take.
There's no reason an employer shouldn't be able to hire and fire at will. The union bosses see it differently, but it won't be them getting laid off.
If INS ever did a real "card check" on Culinary they would be begging for members to fill all the job openings created.
If the Unions are not willing to play ball, then their people are going to join the unemployment union which is still swelling here in Southern Nevada. They better smarten up. Although I can't say the Stations has a very bright future anyway. I see them gone by 2011..
Who gave the culinary union the right to intervene in the bankruptcy case? They do not represent the employees, no contract, and it hasn't been for lack of trying. Let me guess, the 10 salts gave them the excuse, I mean right.
If the employees are being overpaid to the point the business can not survive they *should* "start over" and get new employees that are paid a more competitive, reasonable, and fair salary.
That is the bone of contention to most employees of Stations. They are not necessarily pro union, but they are tired of being told Stations is the best gaming company and yet they are NOT being paid what competitors are paying their employees. To suggest employees approach management and volunteer to accept lower wages in order to retain their job is an insult. You cannot be paid less than minimum wage.
For starters, as loyal_employee noted, the fact that the "informal committee of Station employees" consists of a whopping ten members, is fall of your chair laughable.
Where does the culinary union get off sticking their nose into this matter, anyway? They do not represent Station employees, so why are they filing any motions into this bankruptcy hearing? Just another pathetic attempt to justify their existence and keep them in the headlines.
As for the new Fertitta gaming company; yes, theoretically they could lay off the old Station casinos workforce and start from scratch. Let's play the devil's advocate. Esteemed counselor McCracken might suggest that the company would benefit from hiring back former employees at a lower wage, with less vacation time, and lost seniority.
Here's the thing, though: do you think it likely that these re-hired employees might be a touch resentful? Do you also think it likely that the union might finally be successful in getting a hold into these casinos? Of course, in both instances. Fertitta Gaming senior management is aware of this, and won't do anything to open up the doors for union intervention.
The entitlement of these pro-union activists frustrates. Where do they get off asking the bankruptcy court to protect their jobs? What's next, ten senior citizens band together to create an "informal committee of degenerate gamblers" and file a motion in court to protect their Boarding Pass points?
Station Casinos has always offered a competitive hourly wage, excellent benefits, and maintained an open door policy that is admirable.
These ungrateful, disloyal Station team members that disrespect the company that puts bread on their tables should be ashamed. If you want to work in a union environment, go find work at a union house on the strip. There are plenty of them.
Hope Boyd don't acquire any of Stations properties....they don't like to pay. They're big on titles, small on pay. Ask the Coast employees who got 'stuck' with Boyd when they acquired their properties. Their hourly rates are much lower ($2-$4) than Coast paid.
What bothers me most about this group is its name, so I've taken the liberty of devising a new one JUST FOR THEM...
Instead of calling this group the "Informal Committee of Station Employees", they should just re-name themselves "Several.Employees.Lacking.Loyalty.Out.to.Unionize.Their.Stations."!
Not only is this new, improved name a more accurate reflection of this group and its purposes, but it can be shortened to acronym form for Judge Zive's convenience!