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MGM MIRAGE WORKERS: Unions approve contract

Deal covers 21,000 employees on Strip










MGM Mirage workers represented by the Culinary and Bartenders unions overwhelmingly approved a new five-year collective bargaining agreement Friday that not only secured employees higher wages and benefit increases but also ensured the possibility that the labor organizations' single largest bargaining group could grow even bigger.

Employees, meeting in morning and afternoon sessions at the Mandalay Bay Convention Center, ratified the collective bargaining agreement covering 21,000 members of Culinary Workers Local 226 and Bartenders Local 165 at 10 MGM Mirage Strip resorts. Vote totals were not released.


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  • The agreement called for an annual total cumulative wage and benefit package increase of $3.47 hourly over the term of the contract. The total raise averages out to 3.7 percent per year for five years, a figure similar to the one contained in an agreement the unions reached in June with six casinos owned by Harrah's Entertainment and a deal negotiated this month with the Riviera.

    Workers retained their family health insurance plan where employees are not required to pay premiums. Also, the contract maintained the company's contributions to the employee pension fund. The contract language formalized job opportunities and a job placement priority program for employees in the event an MGM Mirage property were to close during the life of the contract. It requires compensation if the company cannot offer jobs to those employees.

    There are also increases in guaranteed gratuities for tipped employees, contributions to an IRS legal defense fund, and a housing trust fund established by the union. MGM Mirage will provide full pay and benefits to Culinary employees called up to active military duty, and the contract establishes employee advancement and training programs.

    "I feel great about the economic package," Culinary Secretary-Treasurer D. Taylor said. "It's what we reached in negotiations with Harrah's and the Riviera, and it's what the committee put forth to MGM Mirage."

    In June, Harrah's said the total package would cost the company an extra $265 million over five years. MGM Mirage did not say how much the new package would cost the company, but it's expected to be significantly more than the Harrah's total because of the number of employees. The Harrah's agreement covered almost 15,000 workers.

    The key factor in the MGM Mirage deal, however, was language covering the potential for the unions to organize workers at future hotel-casinos, hotels and condo-hotels developed by the company, including projects where MGM Mirage has a joint venture agreement with another investor or developer.

    The unions and the company agreed to card-checks at those projects where employees simply sign a card or authorization form asking for union representation.

    Some of the places the Culinary expects to try to organize workers include the $7.4 billion CityCenter under construction on the Strip and the recently announced joint venture between MGM Mirage and Kerzner Holdings International on the north Strip. Kerzner developed Paradise Island resort in the Bahamas.

    CityCenter is expected to employ 12,000 workers when it opens in 2009. And the Culinary, which currently has 60,000 members citywide, could organize more than half of the work force. CityCenter's centerpiece 4,000-room hotel-casino is expected to have between 8,000 and 9,000 employees, of which, roughly 6,000 could fall under the Culinary's job classifications.

    "Clearly, that language was very important for our members," Taylor said.

    Shortly after the contract was officially ratified, the union and MGM Mirage released a joint statement saluting the deal that was agreed upon Wednesday night after a 10-hour negotiating session.

    The union and MGM Mirage executives had met 32 times in both large and small groups between the middle of March and late June, seemingly reaching an impasse after the last meeting. The sides had not met for almost two months until Wednesday.

    "These agreements reflect the same long-held support for our employees that MGM Mirage has demonstrated for many years," said Cynthia Kiser Murphey, the company's senior vice president for human resources and the casino operator's lead negotiator. "We will continue to create enormous opportunities for our employees to grow and thrive in this amazing community."

    Taylor, who led the union's negotiating team that consisted of MGM Mirage employees, said the contract ensures both the employees' future and the labor organization's future growth.

    "Las Vegas is going through another huge building boom and we are happy to have reached a settlement that makes sure that the employees are a key part of that growth," Taylor said. "We look forward to the new projects that MGM Mirage has coming online."

    The five-year-contract covers workers at Bellagio, The Mirage, Treasure Island, Mandalay Bay, Monte Carlo, Circus Circus, Slots-A-Fun, Excalibur, New York-New York and Luxor. The MGM Grand has a separate contract with the Culinary. Also, the union has a separate 10-year agreement with Wynn Las Vegas that was signed in 2005.

    With employees from MGM Mirage, Harrah's and the Riviera under contract, some 13,000 Culinary workers are still without new agreements. Contracts expired May 31, but extensions at unsettled properties have been put into place. Negotiations are continuing with independent casino operators on the Strip and downtown.

    The union has scheduled a strike authorization vote for workers at the unsettled properties on Sept. 12.

    "We are happy to have our negotiations with the major Strip operators finished, but we will not be satisfied until every worker has achieved a fair, new contract," Taylor said. "My phone hasn't been ringing with properties wanting to settle based on the MGM deal. Our membership is all fighting for the same thing."

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    Rick wrote on August 26, 2007 01:26 AM: Illegal immigration is due to corruption and greed found on both sides of the US/Mexico border. Mexico and other country's governments pocket a great deal of the wealth generated within their borders and won't take care of their own people. The U. S. businesses want to keep their bottom lines as profitable as possible, even if it means hiring illegal immigrants, who provide cheap labor. However, cheap labor does not come at a cheap price, considering what illegal immigration is costing this country and society, directly and indirectly.
    The Almighty Dollar is all that matters, to all involved in illegal immigration, and even to the unions that represent these people.


    Joe C wrote on August 25, 2007 04:21 PM: McGrath, there is not a simple answer to the question.
    Around twenty years ago, Hispanic organizations came up with an idea to get more of their own working.
    Saying they were discriminated against in the work force. They were willing to offer business cheaper labor. Also the plan called for more involvement in politics, community and church. Plus get more of hispanic's into hiring positions.
    For many reasons including institutionalized racism blacks held many of the unskilled jobs held by illegals now. Some of these jobs at least allowed black a certain standard of life. Lets not forget factory and manufacturing jobs also.
    Business jumped on the cheap labor idea, also morphing it to include illegal aliens.

    Both my wife and I have worked in management in very diversified fields and when it comes to job slackers, no one race sticks out.
    Why would an American go to work in a job with stagnate wages, unsafe working conditions, and also not able to communicate to your boss or co-workers.
    We are in a wave of racist hate against whites, blacks, and others by an invading force with many agendas, supported by greedy business.
    If such a great people with so many family values and ready to work so hard, why are they fleeing the country they love. By their repeated claim of values, you would think the country they left would be paradise.
    Whether they are hard workers or not, the fact they can break immigration laws, use fake or stolen ID and blame the U.S. for their woe’s, is more of their true character, criminal.
    The illegal alien issue has many agendas and is not simple, but the simplest answer for your question, cheap labor.
    It’s not progress to destroy someone else’s standard of life just to improve yours.


    McGrath wrote on August 25, 2007 02:41 PM: Why have Black Americans been hard hit by illegal aliens? Could it be that illegal aliens are willing to work harder than Black Americans? Seriously, why would an employer hire an illegal alien if there were legal Americans, any color, willing to take those jobs?


    Cynthia wrote on August 25, 2007 01:46 PM: Have your "professional" photographer pay attention to detail, the lady in the front row has her legs spread apart, a different angel would have been better. Or you could hire someone with more experience!


    Joe C wrote on August 25, 2007 12:27 PM: If you are going to write racist statements at least be person enough to use your real name if this is what you believe in.

    Truly if you are against illegal immigration and you want an end to the problem, racist language like that written by DWIF only helps the illegal immigration cause.

    So if your not smart enough to understand that, please don’t help the side your supposedly against.
    It only makes it tougher for us who understand the problem and are actually doing something about it, besides posting here.
    Possibly the poster isn’t what they claim to represent.


    DWIF wrote on August 25, 2007 12:07 PM: What do you call all of the blacks swimming across the atlantic ocean back to Africa with a mexican under each arm?


    A Good Start..... OH!!!


    patriot wrote on August 25, 2007 10:35 AM: Key line, SOME EMPLOYEES,not that id call it pandering to our questionably legal employess.But lets give them higher gratuity so thats 2 raises to 1, ans build them affordable housing projects, and provide legal representation for them, but no this union would never pander to our illegal buddies would it????


    Lee Yarbrough wrote on August 25, 2007 10:15 AM: What I am wondering about is why only 7000 of 21,000 union employees felt the need to vote?

    Has to make one think that maybe the union does not want all the employees voting.

    Does only one third of the workers really care about their jobs that much?


    patriot wrote on August 25, 2007 09:23 AM: Well mGM employee either your blind, dissalusioned,illegal,or management, cause there is so much racial favoratism in this company, just see how many non hispanics have recieved tipping jobs in last 10years, and if you see a kitchen worker or cook that isnt hispanic, youve truly hit a rare find.Of course all well with you cause il bet your 1 of those hispanics getting the good tipping jobs , i rthink it would be more acccuraTE TO BE REALISTIC AND CHANGE THE NAME FROM CULINARY UNION, TO THE LATIN LABORORS CENTER!!! AND YES I WORK WITHIN THE COMPANY ALSO


    Joe C wrote on August 25, 2007 08:13 AM: I have never been in a union but understand how important unions are for working people in general raising wages to compete and keep workers in other fields.

    Although if you look at the pictures supplied by the RJ there is few if any white Americans and I didn’t see one black American in the crowd.
    It would be great if the hotels hired a diversity of minority, not filling up departments with cheap illegal labor.
    The only time the radical Hispanic Culinary union started acting like a union is once they filled most of the jobs with there own.
    Black Americans in Vegas has been hit hard because of illegal aliens.
    Hard for non-Spanish speaking Americans to work together especially when morning briefing are in Spanish, it’s not that we won’t take these jobs we have been displaced.

    The contract sounds great from the article, too bad it’s not benefiting Americans.
    Having lived in Vegas since 1977 and most of the jobs that were in the Culinary union were very diversified, white black, Hispanic, Asian, and new immigrant, now just Hispanic.
    I guess we know where the hate and racism is, hardly diversified when you force all out but your own.
    Our government should be proud; they have succeeding in giving our country away.
    Thanks Reid, I’ll bet he has a hard time understanding the contempt for him and his kind.
    The pictures speak loudly.


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