Government Oversight and Support

Chan Un Tong,director of the Labor Affairs Bureau (DSAL),has assured the public that authorities are diligently monitoring operational shifts within satellite casinos. To date,the bureau has not received any labor dispute cases involving employees and operators. However, the DSAL is proactively preparing for potential disruptions.

Chan emphasized the government’s commitment to supporting affected workers,stating in an interview with the Macao Daily News that individuals should contact the Labour Affairs Bureau to access tailored career transition training.

Affected individuals should contact the Labour Affairs Bureau to access tailored career transition training.

The Landscape of Macau’s Casinos

Macau currently boasts 30 casinos, a mix of directly licensed and satellite operations. Of thes, 11 are satellite casinos, distributed among the major concessionaires:

• Nine operate under SJM Holdings Ltd.’s concession.
• One operates under Galaxy.
• One operates under Melco.

the satellite casino model, while contributing considerably to Macau’s gaming revenue, faces increasing scrutiny and regulatory adjustments. Seven satellite casinos closed in 2022, primarily due to regulatory changes and the lingering impact of the Covid-19 pandemic, signaling a shift in the industry landscape.

Workers’ Anxieties and industry impact

The remaining 11 satellite casinos and their associated hotels employ approximately 13,500 workers, according to estimates by property services firm Savills (Macau) Limited.with the transition period rapidly approaching, these employees are understandably concerned about their job security.

In February, satellite casino employees voiced their fears of potential job losses during a meeting with legislator lei Long Wong, highlighting the human impact of the impending changes.

legislator José Pereira Coutinho has also warned that the closure of satellite casinos could have a ripple effect, impacting various businesses surrounding these establishments.

government Contingency Plans and Commitment

In response to these concerns, the DSAL director has assured that government departments are collaborating on contingency plans to provide swift support to affected workers in securing choice employment. this proactive approach aims to mitigate the potential negative consequences of the transition.

Chief Executive Sam Hou fai reaffirmed the government’s commitment to fostering a stable, healthy, and orderly gaming industry as the satellite casino transition period nears its end. This commitment underscores the government’s intention to manage the transition in a way that minimizes disruption and supports the long-term health of Macau’s economy.

sam Hou Fai, Chief Executive
The government is committed to fostering a “stable”, “healthy”, and “orderly” gaming industry as the satellite casino transition period nears its end.

Potential Financial Repercussions

The potential closure of satellite casinos could also have significant financial implications. A property assessor said last month that some hotel properties may risk losing over 60% of their value due to the closure of satellite casinos. This highlights the interconnectedness of the gaming industry with othre sectors of Macau’s economy.

Looking Ahead

As Macau approaches the end of the satellite casino transition period, the government’s proactive measures and commitment to supporting affected workers will be crucial in navigating this complex situation. The industry’s ability to adapt and innovate will also play a key role in ensuring a sustainable and prosperous future for Macau’s gaming sector.