For several months, both parties attempted to reach an agreement on a new multi-year contract, but were unable to do so
As Las Vegas gets ready for its big Grand Prix more than 700 workers at Virgin Hotels Las Vegas who do not work in gaming are planning to go on strike.
Virgin Hotels Faces Second Walkout of the Year After Unsuccessful Contract Talks
This move comes after talks with Culinary Local 226 did not work out. It is the second time this year that workers have walked out at this hotel, which is not on the main Las Vegas Strip. For months, both sides tried to agree on a new contract that would last several years, but they could not make it happen. The talks fell apart on Thursday night just before the city’s first-ever Formula One event, which starts on November 21.
The fight is about pay raises. Virgin Hotels’ bosses said they tried hard to meet what the union wanted by changing their first offer. Virgin Hotels put out a statement saying they suggested moving up some of the pay increases they had planned for years four and five of the deal. This would make sure workers did not go three years without getting more money. But the union said no to this offer. They called it not good enough and said the bosses were not willing to budge, reported The Las Vegas Review-Journal.
Chefs and cooks voiced their frustration on social platforms saying the offer fell short of their expectations. They highlighted that employees, who had all voted to reject inadequate conditions intended to hold their ground. The union claimed that the offer insulted workers, blaming Virgin for not offering a workable answer.
Upcoming Walkout at Virgin Hotels Puts Pressure on Management Ahead of Major Formula One Event
The looming walkout set to happen at Virgin Hotels on Harmon Avenue and Paradise Road, might disrupt services as the city gets ready for many visitors coming for the Formula One race. This event will grab worldwide attention and boost local tourism, putting more pressure on the hotel-casino to end the job dispute.
The Culinary Union has a long track record of smart bargaining making good use of its clout to get better deals. In 2023, they used similar methods when the union gave big names like MGM Resorts International, Caesars Entertainment, and Wynn Resorts a deadline to strike before a major event. This talk led to a deal that gave workers a big 32% boost in pay and perks over its term, plus other things that helped workers.
Virgin Hotels, which took over from the Hard Rock Hotel in March 2021, is dealing with problems as it handles new management and financial issues. Union bosses said that, unlike other Las Vegas properties that made labor deals in late 2023 and early 2024, Virgin got more time to negotiate because of its financial situation.
Even with these factors in mind, the union thinks the current offer does not meet what its members need.
The hotel has accused the union of using “unlawful bargaining tactics” and has filed complaints with the National Labor Relations Board. On the other hand, Culinary Local 226 insists that a contract without immediate pay raises will not work.
