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Wednesday, June 9, 2010

Beacon Hill Testimony: Where is your proof?



We are discussing legalizing a business that depends on Addiction and Exploitation for its existence.

The Commonwealth prides itself on intelligent, well considered legislation and transparent public debate.

We hear –


CONSTRUCTION JOBS

Sands Bethlehem Casino Resort

is building a
300 room hotel whose construction will employ
350 people.


Where are the THOUSANDS of construction jobs that you promise?

Will those jobs go to Massachusetts residents?

Will they be union jobs?

Is there a guarantee?


What if those construction jobs fail to materialize?

Will the Casinos/Slot Parlors pay a penalty?

Will they escrow funds to employ the balance of those promised jobs?



Of - CASINO JOBS

How many jobs will be created?

First we were told 15,000.

Then it grew to 19,000.

Who is providing the numbers?

Who is demanding proof?

If Sands created


780 JOBS with 3,000 Slots,

you need

20 Slot Parlors to create 15,000 JOBS.

(That's almost 4 slot machines for each job.)




If each slot machine permanently removes ONE job from the local economy, that's a net loss of 2,020 jobs.




The Spectrum Gaming Report for the CT DOSR addressed 'cannibalization' indicating that 40% of the jobs created were not 'new' jobs, but actually were transfers of local private sector jobs that were lost.


Is there a plan to replace those jobs? Those are local small businesses that will disappear.

A report on the proposed casino in West Warwick, Rhode Island considered:

To what extent might a casino change the labor market?

The authors find that the opening of a large casino was associated with a 0.6 percentagepoint drop in the host county’s unemployment rate.

Of Atlantic City --

... [casino] jobs represented about 78 percent of the city’s private-sector jobs.2 A high proportion of casino jobs are open to low-skill workers, and on any given day, many go unfilled. Yet in 1999 the city’s poverty rate was 23.6 percent, while the national rate was 11.3 percent; unemployment stood at 12.9 percent in 2000, compared to 5.8 percent in the nation.3 The city’s poverty rate is actually a bit higher than before the beginning of legalized gambling in 1978 ….

...the low-skill service jobs available in casinos or other industries may not provide enough income to escape poverty. Residents often noted that they or someone they knew held two or three casino jobs in order to make ends meet.

Ball State University

A study of West Virginian racinos —

horse and dog racing facilities that added casino games — during 1978-2004 found that counties with such operations realized a one-time 1.1 percent increase in employment while the average salary in that area fell by as much as 2.9 percent due to the addition of a large number of low-paying jobs.

...found the average annual salary of a racino employee is less than $14,000. This was near minimum wage at the time of the study.


Of Mississippi --

Casino gambling was legalized in Mississippi back in 1990 and the first casino opened in August, 1992.


If gambling is such a great economic driver, shouldn't they be doing better than we are by now?


In 1989, 24.1% for Mississippi residents were living in poverty. [80 of 82 countires exceeded the national average for residents living in poverty.] (National average: 13.1% of Americans were living in poverty.)

In 2008, with 29 casinos, 20.8% were living in poverty. [80 of 82 counties exceeded the national average for residents living in poverty.] (National average: 13.8% of Anmericans were living in poverty.)




In Connecticut:

Low wage jobs have forced 'hot bedding.'

Both Foxwoods and Mohegan Sun have recruited low wage workers from overseas because they're unable to fill the jobs locally.


The New Hampshire Center for Public Policy Studies in its January update report (Table 29) discloses that the weighted average wage for 75 percent of the jobs at a typical U.S. casino is
$9.60 per hour (not including tips, 2008 data).



The recent economic downturn and high unemployment was caused by Casino Capitalism and “Something for Nothing” schemes that convinced many that they could gamble their way to prosperity without hard work.

We need jobs we can be proud to work, that offer a future and provide for advancement. We don't need low wage dead end jobs slot parlors offer.




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