Southern California casinos struggle to fill jobs as business picks up
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With the initial phase of its $550 million expansion plan now completed, San Manuel Casino is grappling with the same problem other Southern California casinos are facing — how to fill all of its job openings.
And there are plenty, as the Highland facility is looking to hire 2,500 additional workers by year’s end.
But it won’t be easy. The hiring process at casinos can be time-consuming, and some former workers may have moved onto other jobs while others are nervous about returning to crowded work environments with COVID-19 and its far more contagious Delta variant rapidly boosting infection rates.
At San Manuel, recruitment is underway for cooks, cashiers, janitors, groundskeepers and a variety of other positions to work in the casino’s expanded gaming space, new 24-hour restaurant, high-end dining venue and newly completed retail shops.
More openings are being filled to staff the casino’s new 432-room hotel, set to open later this year.
“We’re doing well considering this unique environment, but it’s more challenging to fill our entry-level positions,” Jasmine Takeshita, San Manuel’s director of talent acquisitions said earlier this month. “The market is tight.”
Large businesses are finding it increasingly difficult to hire qualified workers while also struggling to retain their existing employees, according to a recent survey by the Conference Board.
The April survey of more than 230 human resource executives echoes multiple reports of labor shortages as businesses and other establishments that had shut down or were otherwise restricted by the COVID-19 pandemic rapidly reopen.
Hiring incentives
Like other businesses in dire need of workers, San Manuel has upped the ante by offering incentives. That includes $1,000 welcome bonuses and up to $300 in perks for junior chefs, cooks, kitchen workers, environmental services technicians and custodial staff.
Pechanga Resort Casino in Temecula is also offering incentives in its push to fill 250 openings.
The casino hosted a job fair July 21 to hire line cooks, servers, bartenders, stewards, cocktail servers, reservations agents, environmental services workers, massage therapists and pool food-service positions.
Some of those jobs, including full-time line cooks, come with a sign-on incentive of $1,500, while those hired as environmental service specialists, guest room attendants, stewards and cash-drop employees will earn a $1,000 bonus.
New hires will also get free meals during their work shifts as well as medical, dental and vision insurance, access to a 401(K) retirement program, a longevity bonus and tuition reimbursement.
Heavy job losses
The incentives and perks are understandable in light of the heavy job losses casinos weathered last year as a result of COVID-19 shutdowns and pandemic-related restrictions.
Robert Kleinhenz, principal economist with Kleinhenz Economics, said California’s gambling industry had about 15,900 employees in February 2020, right before the pandemic kicked in. But by August that had fallen to 2,100
“As of June of this year we were back up to 12,500, but we’re still down 3,400 positions statewide,” he said.
So why are casinos struggling to recruit enough workers?
Kleinhenz links that to a variety of factors. Some casino employees likely found work in other industries or became self-employed when casinos were temporarily shutting down or downsizing their operations during worst of the pandemic, he said, while others may have children or other family members to take care of and aren’t ready to return to work.
Still others may be uneasy about going back to work while COVID-19 still a reality, Kleinhenz said, particularly with the Delta variant pushing infection rates higher.
A lengthy hiring process
Cary Berner, Pechanga’s vice president of human resources, said casinos are likely at a disadvantage for hiring because the vetting process is so involved and time-consuming.
“There’s a lot of red tape,” he said. “Our background checks go back 15 years, while most businesses just go back 10 years. We also do fingerprinting and a pre-employment drug test. Once that clears, we set up an appointment for the gaming commission to issue the new employee a badge.”
The process can take up to two weeks or even longer.
“A lot of young people are in a hurry to get a job and might not have that kind of time,” Berner said. “But once someone is hired here, our average employee stays with us for 10 years.”
Some jobs at Pechanga start at minimum wage, which is currently $14 an hour, although other positions pay as much as $25 an hour, with some floor supervisors earning more than $30 an hour.
“We held a career fair last month and hired almost 300 people,” Berner said. “But business is so strong that we’ve opened all of our food and beverage locations seven days a week, so we’re planning to hire another 250 employees.”
Hiring incentives are likewise being offered at Spotlight 29 Casino. The Coachella facility will host a job fair Tuesday, July 27 with a $500 sign-on bonus for some positions. New hires will receive $200 after completing 90 days at work and another $300 after they complete 180 days.
Spotlight 29 — one of two economic enterprises managed by the Twenty-Nine Palms Band of Mission Indians — has openings in food and beverage, table games, facilities, information technology and events staffing, among other areas.
‘Pay meets play’
Harrah’s Resort Southern California in northern San Diego County has added an additional enticement with its recent “pay meets play” job fairs. The casino is offering a free two-night stay to new hires who remain on the job for at least 90 days.
“With the two-night stay incentive, future employees are able to pursue careers with a ‘side of play’ to meet an appropriate work/life balance — something we’re quite passionate about here at Harrah’s,” casino management said.
Response to the job fairs and incentive, according to Harrah’s, has been “incredibly positive.”
The scramble to hire isn’t confined to casinos. Finding enough workers has been an across-the-board dilemma.
Katie Richardson, a representative with Zislis Group, which is tasked with finding job applicants for a number of hotels and restaurants in the South Bay, has offered sign-on bonuses for new hires and referral bonuses for existing employees who help to bring on new workers, yet she’s still struggling to fill openings.
“We’ve got about 75 openings right now, but people just aren’t looking,” Richardson said earlier this month. “Restaurant groups are also increasing their wages, but there’s no one there to take the jobs.”
Megan Delia, office manager for Quantum Staffing in Valencia, is facing the same dilemma.
“We’re a staffing agency, but no one wants to work,” she said. “I have a bunch of clients calling me that are hiring, but it’s difficult to find anybody.”
