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Boardwalk
runs out
As reported by The Las Vegas Sun
LAS
VEGAS - The suspense is over for employees of the Boardwalk
on the Strip, who have learned that the hotel will close Jan. 9.
On
Friday, parent company MGM Mirage mailed letters to the Boardwalk's
749 employees, informing them that they will lose their jobs Jan.
9, but will be allowed to apply for open jobs at other company properties.
MGM
Mirage will begin tearing down the 654-room property, which will
be leveled to make way for the planned CityCenter, a $5 billion
hotel and condominium complex expected to open by the end of 2009.
The
Coney Island-themed Boardwalk
will not be imploded; it will be demolished piece by piece in a
process expected to take up to five months.
MGM
Mirage, Nevada's biggest employer and taxpayer, sent the letter
to comply with the Worker Adjustment and Retraining Notification
Act, a law requiring companies with 100 or more employees to give
60 days' advance notice for a plant closing or mass layoff.
Boardwalk
workers also were told in the letter that the company will try to
help them find other jobs within the company.
Employees
who move to another MGM Mirage property will retain their seniority
and benefits, but will be required to meet all of the company's
typical requirements for new hires, including passing a drug test.
Starting
today the Boardwalk
will open an employment center for workers, allowing them to apply
for jobs within the company. MGM Mirage also will host an internal
job fair for Boardwalk workers Nov. 16.
Boardwalk
President Forrest Woodward, a 10-year veteran at the property, said
he is optimistic that employees will not only find jobs but that
qualified workers will find better positions at other properties.
MGM
Mirage has instituted a hiring freeze at some of its hotels in preparation
for absorbing jobs lost at the Boardwalk, Woodward said.
"Absorbing
750 people when you've got 70,000 employees isn't going to be a
problem," he said. "They are doing yeoman's work at MGM
Mirage to make that happen," he said.
For
now, some Boardwalk
workers have their doubts.
Bartender
Ricardo, who didn't give his last name, said he's expecting a difficult
transition.
Bartender
and server positions on the Strip are very competitive and have
been harder to come by than other positions, such as dealing, he
said.
Boardwalk
workers also can't rely on a union to ensure that they find jobs
elsewhere, he said.
Unlike
MGM Mirage's other resorts on the Strip, the Boardwalk
isn't represented by the Culinary Union.
"I
may not lose seniority, but I may lose the privilege of being behind
the bar," Ricardo said.
Michael
Pira, owner of Par-A-Dice Scooter Rentals inside the Boardwalk,
said he is one of many third-party vendors notified to vacate the
property in the next several weeks.
Pira,
who moved from Chicago a year ago to get into the scooter business
in Las Vegas, said the closure comes at an unfortunate time and
is sooner than he expected.
"There's
a very homey atmosphere here, and the access in and out of the property
is very easy," he said. "They've been good to me. Everything
about it was perfect."
Pira
said he has so far had no luck finding a comparable location on
the Strip to attract passers-by.
"I've
made a big investment in this," he said. "I want to make
it work."
Nevada
Partners, a Las Vegas-based nonprofit group, says it is ready to
help train Boardwalk workers for jobs at other hotels. The agency
works with the Culinary Training Academy, which provides job training
for nonunion workers for a fee.
Nevada
Partners and Culinary Training Academy Executive Vice President
Pam Egan said Boardwalk
workers can apply for scholarships and receive means to offset the
tuition.
MGM
Mirage spokesman Gordon Absher said the company doesn't have a great
need for outside services because it intends to help place employees
within the company using internal job placement efforts.
"We've
got 10 other resorts, and we believe we'll be able to help those
folks within the same family," he said.
The
Boardwalk has been the subject of many redevelopment rumors over
the years.
Steve Wynn's Mirage Resorts bought the Boardwalk
in 1998 as part of a $144 million deal. Since then, employees have
operated under a cloud of uncertainty, knowing that Wynn or his
successor would someday redevelop the building, Woodward said.
MGM
Grand picked up the 66-acre Boardwalk site when it acquired Mirage
Resorts in 2000. MGM Mirage initially envisioned developing some
sort of Generation X-themed resort at the site. Instead the company
hired an urban planning firm to help devise the concept for CityCenter,
announced last year.
The
company has already begun work building a parking garage behind
the Boardwalk
that will be used by employees at the nearby Bellagio, who now use
surface parking.
Demolition of other businesses along the Strip on the CityCenter
site will begin in mid-November. They include the Seven nightclub,
a T-shirt shop and a helicopter tour operator.
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