After only a year open, Sydney’s Crown Casino shuts down half of its operations. China’s recession and its crackdown on junkets have been blamed for the loss. The jobs of almost 100 workers are on the line. Crown Casino’s Barangaroo property has a VIP membership-only casino which is currently on a provisional license.
The twisting skyscraper, Crown Sydney, shows off its splendid architecture as the sun sets on one of its high-roller floors.
©Jack McCracken/Unsplash
Crown Sydney Casino occupies two floors of the AU2.2 billion dollar “Crown Towers” building. A spokesperson stated that its “Mahogany” floor will be closing, but its “Crystal” floor will remain open. The Crown Sydney VIP Casino has no slot machines, only live and electronic table games. It’s provisional license, granted by the NSW Independent Liquor and Gaming Authority, ends December 31, 2023. It could change from its conditional status if all goes well.
It has been rumoured that the Mahogany floor was originally intended for use during times of overcapacity. As the VIP Casino was targeting Chinese high-rollers, Spring Festival (Chinese New Year) was such a time that the Mahogany room would have been opened up. The back-to-back Mid-Autumn Festival and National Day Holiday is the other week-long annual Public Holiday in China. These dates are the “bonanza time” for casinos expecting Chinese high-rollers to flood in.
However, Crown Sydney VIP Casino workers have been told that the late September/early October Chinese holiday week is just when the Mahogany Room will shut its doors. At writing, the board has not yet given an exact date of close but staff have been told to expect it by the end of September 2023.
Some Job Reallocations
Approximately 95 jobs are at risk with the floor closure, with losses from both the casino and casino support divisions. Staff were told that Crown Resort will provide voluntary redundancy packages and offer job positions in its Melbourne and Perth Casino locations. Affected workers would also be offered open positions elsewhere in Crown Sydney Resort. A spokesperson said, “… we are working with them and their union, to consult on their options in the hopes of placing as many people as possible in other roles.”
Hold Up at Opening
The young Sydney Casino holds one of only two casino licenses in the Australian state of New South Wales. This is a provisional license. The casino was intended to be opened in 2020, however, reports of a slew of criminal activity in its sister casinos delayed its launch while investigations were conducted. Along with safer gambling and Anti Money Laundering (AML) practices, an overhaul of management and corporate culture ensured a foot in the door for licensing.
Crown Resorts Ltd. was taken over by Blackstone Inc., the USA investment giant, in June 2022. It bought out the company at AU$8.9 billion. After the buy-out, it was de-listed from the Australian Securities Exchange (ASX). It has been speculated that the casino changing hands further assuaged the government’s worries about issuing the casino license. As links to criminal networks were an issue during the investigations, the sale to different owners would have further disrupted any existing criminal connections.
Fancy Facilities for Patrons
The AU$2.2 billion building boasts a plethora of facilities for the casino-goer. A luxury hotel (rooms from AU$800 to $5,400 and up per night), restaurants and bars, a SkyDeck, premier Spa with a sauna and bath wing, gym and pool with harbour views, high-end tennis court and yoga terrace, shopping and bespoke concierge services – Crown Sydney has it all! One of its restaurants even has a 3 Michelin Star chef. The Northern Ireland chef, Clare Smyth, is currently one of only three females in the world to have 3 Michelin Stars. Gender disparity is evident in the culinary industry with less than 1 in 7 chefs female and a large, gendered pay gap.
The floor that is being closed, The Mahogany Room, contains 30 private salons. Members that have spent over AU$45,000 within the Resort are allowed access to this floor. After the close-down of The Mahogany Room, the Crystal floor will remain accessible. The Crystal Room has 160 live table games and 66 electronic table games. The minimum bet starts at an unspectacular $20.
Play at the Crown Sydney VIP Casino is restricted to Members and approved guests only. Members receive reward points if they log their play. There are no pokies (slot machines), but there are live and electronic table games: Baccarat, Roulette, Sic Bo, Blackjack, Ultimate Texas Hold ‘Em, and Mississippi Stud Poker. It has been speculated that the VIP Casino may apply for licenses for slot machines, to increase their lagging income.
Responsible gambling practices, such as improved Self-Exclusion registration processes, and restricted daily and weekly gambling time, have been installed. Crown Sydney VIP Casino recommends the GambleAware hotline (1800 858 858) for free confidential 24-hour counselling and referrals. The casino has an on-site Responsible Gaming office open 24/7, with a range of assistance and support services provided.
