Crown Resorts will cut 1,000 jobs across Australia as the entertainment giant undergoes a major restructuring.
Its casinos in Sydney, Melbourne and Perth will be hardest hit by the move, chief executive Ciaran Carruthers told staff in an email on Monday morning.
Most of the job cuts will occur in Melbourne, which is home to Crown’s most popular entertainment district.
The move is expected to reduce overall headcount across all businesses and district roles by four per cent, although the Perth site will be spared the worst.
Crown Resorts will cut 1,000 jobs in another round of mass redundancies as the company undertakes a major business restructuring. Most of the latest cuts will come at its Melbourne casino (pictured)
The decision will mean Crown will shed five per cent of its workforce with around 20,000 people employed across the three casinos.
Crown, which posted a $199 million loss last year, has been hit hard by regulations and fewer customers visiting the three casinos.
The current cost of living crisis has also affected the company’s operations.
Tough economic conditions and gaming regulations have forced the company to carry out the latest restructuring.
“The challenges at Crown reflect a large reduction in foreign tourism, a sharp decline in local workers in city centers and restrictions on gambling in Sydney and Melbourne,” Carruthers said in a statement.
“It was a difficult decision, but we are focused on repositioning the business for long-term success.”
He stressed that job losses would not affect Crown’s approach to its regulatory obligations.
“We are committed to our regulatory obligations and the ongoing transformation, including the Crown PlaySafe, Melbourne and Sydney transformation plans and the ongoing remediation in Perth,” Carruthurs added.
Crown Sydney employees are not understood to be directly affected by the latest job cuts; however, the cuts will come from the corporate and hospitality departments.
The latest round of job cuts comes after Crown Casino in Melbourne cut 200 jobs earlier this year and switched its 2,600 poker machines to card play to help customers set gaming limits.
The company regained its licenses to operate casinos in Melbourne and Sydney earlier this month as it looks to sustain its business operations.
The move will mean the company (pictured) will lose five per cent of its workforce, with the majority of the job cuts coming from the Melbourne casino.
Crown chief executive Ciaran Carruthers said the firm is committed to implementing a series of regulatory measures to help reduce problem gambling (customers pictured at a Crown casino).
Crown was the subject of two damning royal commissions into its casino operations, which found the company had engaged in money laundering activities, including at the Melbourne casino.
Ray Finkelstein, Victoria’s Royal Commissioner called the conduct “disgraceful” and said in his final report published in October 2021 that the activities were illegal, dishonest and unethical.
WhatsNew2Day Australia has contacted Crown Resorts for further comment.