Million Dragon Hotel already laying off employees – Media

The Million Dragon Hotel, part of Chan Meng Kam’s Golden Dragon Group, has sent some of its employees layoff letters, with dismissed employees suspected to be local residents and marketing staff, Allin Media reported.

The reasons for the dismissal were attributed to external factors, with the company’s business structure being adjusted due to the challenging economic environment.

The dismissal letter did not mention a severance package, saying only that it would be dealt with under Macao’s labour laws.

Chinese language newspaper Macao Daily News had reported on March 24 that seven satellite casinos are planning to stop operations by mid-year, due to the tightening of visa applications to Macau, lack of cash flow, and the negative impact of the repeated pandemic outbreaks.

Currently, there are 18 operational satellite casinos among a total of 40 casinos in the territory, with 14 of these third-party promoted casinos running under the license of gaming operator SJM Holdings Ltd while the other four are linked to Galaxy Entertainment Group (GEG) and Melco Resorts and Entertainment Ltd.

Emperor Entertainment Hotel Limited previously announced that its casino located in its Grand Emperor Hotel will cease operations due to the “tough business operating environment arising from the Covid-19 pandemic over the past two years”, with its service agreement with gaming concessionaire SJM set to expire on June 26.

Co-chairman and executive director of gaming operator SJM, Angela Leong On Kei, recently assured that the group would absorb any workers left unemployed by the closure of satellite casinos linked to the gaming concessionaire.

A new version of the general gaming law presented by the Macau SAR government allows for satellite casinos to continue operating even if the property where they are located is not completely owned by a gaming concessionaire, a turnaround from the previous stance that could see these casinos closed if the situation was not resolved in a three-year transitional period after the new law was is enforced.

The previous draft wording had led several industry insiders to warn that multiple satellite casinos in the city could be closed and increase the local unemployment levels.