Gaming for Africa Magazine - Issue 149 (Apr/May 2020)

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Sun International Closes Carousel & Naledi Casinos The Covid-19 pandemic, coupled with escalating costs and declining revenue have claimed the iconic Carousel Casino and Naledi Casino, both of which have permanently been closed, and will not reopen after the national lockdown. SUN INTERNATIONAL confirmed that both the Naledi Casino, situated in Thaba Nchu in the Free State and the Carousel Casino in the North West, have run at a loss for several years. In a statement, the hospitality company addressed inevitable looming job losses, saying they have ‘started the process of engaging gaming boards, relevant unions and employees’. Sun International CEO Anthony Leeming said: ‘Given the unprecedented crisis that South Africa is facing, we accept that the authorities have no option but to implement a country-wide lockdown to protect lives. However, the inevitable financial burden it placed on us has impacted our ability to continue subsidising under-performing properties”. Leeming also said Naledi, a slots-only casino had

run at a loss for years, while the Carousel had also incurred losses ‘for some time’. “We previously made every effort to turn both businesses around, but these efforts have not achieved the desired results,” he said. Sun International to cut staff salaries, ‘temporarily’ lay off some workers post lockdown In related news Sun International has also proposed reducing working hours and salaries for its staff after the nationwide lockdown to curb the spread of the coronavirus ends, in order to avoid mass retrenchments. The company has informed its employees and representatives of the SA Commercial, Catering and Allied Workers Union (Saccawu) that on May 1, when trading is expected to recommence, it will have

a shift system with reduced working hours in place. In a statement the group said that once the lockdown ends, some employees will be told to resume work, while those who are not called back will be “laid off temporarily” as the group ramps up to full operation. Venues like Sun City will at first only open a limited number of hotels and increase openings depending on customer activity. As employees return lockdown shift systems with a minimum of four hours per day will be put in place. Permanent full-time employees who work 150 hours per month can expect a 20% salary reduction, while employees earning over R1 million will also see a 30% reduction in salaries. Non-shift employees required to report to work will see a 20-29% salary drop, while those who are not called in for work will have to apply for the UIF. “While we understand that these changes will have a substantial impact on the people of Sun International, we need to ensure the long term sustainability of the company so that we can protect as many jobs as possible. “If these changes are not made, we run the risk that our funders will no longer provide the capital we need to continue to operate,” said the group in a statement. Saccawu, in respo statement, said the union is declaring a dispute over the company’s unilateral decision to reduce remuneration and working hours, and to lay off staff.

Tsogo Sun’s Hotels Shine Bright during SA’s dark days Southern Sun’s Elangeni and Maharani hotels have come out blazing with a powerful message of hope and solidarity to inspire South Africans, by simply leaving a few lights on. Recently, the hotel group changed the facade of the hotel, by constructing a heart and the words, hope and love by switching off some lights and leaving others on in the hotel rooms. 2

Gaming For Africa

Tsogo Sun’s iconic Elangeni and Maharani hotels caused a stir with its message in lights as a symbol to unite the country during the pandemic

April / May 2020


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