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Union wants talks on impact of Resorts sale in NJ - BusinessWeek

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The union representing nearly 800 hotel, food and beverage workers at Resorts Atlantic City is trying to limit the impact of proposed job and pay cuts when new owners take over the casino next month.

Local 54 of Unite-HERE has a negotiating

session scheduled for Monday afternoon with current management of the casino and is seeking talks with the new owner, Gomes Gaming Group.

The struggling casino was taken over by its lenders last December. Gomes, which is due to take over when the $35 million sale closes, said workers will have to be rehired at lower salaries if they are kept on at all.

The workers are anxious and afraid, not knowing if they will have jobs just before Christmas or at what salary, union President Bob McDevitt said.

"The workers at Resorts feel like a pinata -- they're getting hit with one thing after another," McDevitt said. "The holidays are coming, and no one knows whether they're going to have a job."

The union is invoking its legal right to engage in "effects bargaining" -- talks aimed at understanding and limiting the adverse impact of layoffs or a possible closure of the casino.

Typically done when businesses are contemplating large-scale disruptions of the work force, effects bargaining can include the number and order of layoffs, severance pay, health insurance, bumping rights, preferential hiring at other facilities, and job-search assistance.

Monday's session is with Resorts' current management, which will be on the job for about three more weeks. But the real bargaining has to be done with Gomes Gaming, McDevitt said.

Dennis Gomes did not immediately return a call seeking comment Friday. His company is expected to receive approval on Dec. 1 to take over and operate Resorts, with the sale being finalized four days later.




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