MGM China Holdings Ltd. (02282.HK) has made it clear that it will not succumb to its labor union’s pressure tactics with regard to salary and benefits issues, the Hong Kong Economic Journal reported Thursday.
Despite unprecedented labor protests, chief executive Grant Bowie said MGM China will not introduce guaranteed bonus, unlike what some rival casino operators have done in staff remuneration packages.
However, MGM China has pledged to distribute “14th month salary” as a complimentary bonus, in face of similar moves by firms such as Sands China Ltd. (01928.HK) and Galaxy Entertainment Group Ltd. (00027.HK), the report said.
In view of more fierce competition, MGM China is also planning to revamp its gaming facilities, including the Supreme Lounge and the mass floor for high-end customers, from 2015 through 2017.
A total of 27 works will be carried out with a capital expenditure of about US$100 million each year. Annual rate of returns are estimated at 15-20 percent. The overall project is expected to break even in four to five years.
– Contact us at [email protected]