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The Clash of the Titans

Increasing competition for skilled workers forces HR execs to up their game

by Greg Jones

The Clash of the Titans

As the largest employer in the state, Nevada’s gaming industry attracts a lot of attention from people looking for work. But as the industry undergoes considerable growth, competition for top-tier employees has forced various operators to step up their recruitment and retention efforts. With a number of large-scale projects like MGM Mirage’s CityCenter, Boyd Gaming’s Echelon, and smaller—if only by comparison to those metaresorts—projects like Las Vegas Sands’ Palazzo and Wynn Resorts’ Encore coming online starting at the end of this year, that competition is only going to increase.

Operators are taking several approaches to fill open positions in the face of an increasingly tight job market. From better wages and benefits, to updated recruitment methods and looking outside of the industry for the best available candidates, major operators all seem to be taking more-or-less the same track in staffing their properties.

“Even over the last five years, we’ve had new properties opening up throughout Las Vegas, so it can be very challenging finding qualified candidates,” said Chris Cappas, vice president of employment and training for Harrah’s Entertainment Las Vegas operations. “Five or 10 years ago, there wasn’t as much competition and people didn’t have as many choices. Now there are choices all over the city. There are a lot more properties away from the Strip, so finding qualified candidates can be challenging.”

The proliferation of neighborhood casinos is definitely one obstacle for operators on and around the Strip. For the operators of the smaller casinos through the city—Boyd Gaming and Station Casinos—however, their location proves a valuable selling point.

“Because we’re spread out throughout Las Vegas, we’re able to pick up a lot of people who want to work close to where they live,” said Valerie Murzl, vice president of human resources and training for Station Casinos. “I live seven minutes away from my office and it’s fabulous. And a lot of people love not having to travel and deal with traffic five days a week.


The More Things Change…

As competition increases for workers, human resource departments are having to plan ahead to avoid any lulls in service that could come from being understaffed for even a brief period of time. Rob Stillwell, vice president of communications for Boyd Gaming, said the company is already working on recruiting for its $4.8 billion Echelon Place.

“We’re not going to wait and then react to the market, we’re planning for it right now,” he said.

The opening of Echelon will in some ways mirror what the company experienced when opening the Borgata in Atlantic City. There was a small pool of applicants from which to staff the property, but by being proactive, the company was able to open successfully. And Kathy Fireman, who headed the recruitment for the Borgata, is already in place in Las Vegas as vice president of talent for Echelon.

“When we opened the Borgata in 2003, it was the first new hotel to open in 13 years,” Stillwell said. “That was one of the areas we spent a lot of time on: attracting qualified employees. We opened with 4,500 from a very a very small pool of employees, and we were very successful.”

Las Vegas Sands has already started hiring for its Palazzo project, scheduled to open at the end of this year. The recruitment process has seen no shortage of applicants, with some 55,000 applicants already applying for the 4,000 open jobs. By the time the property opens, Michael Gentry, vice president of human resources at the Venetian and Palazzo, expects to have 75,000 applicants from which to choose.

“How many times do you hear that Las Vegas is overbuilt?” he posited. “Yet the large projects continue to open and magically, employers are able to find people who want to fill every single one of those positions.”

Another way that casino operators are looking to maintain staff levels is by looking outside of the industry. Gentry came to the Venetian and Palazzo from the air and space industry, and Cappas also got started with Harrah’s despite not having a gaming background.

“If you’re looking for just casino experience, you’ve really narrowed down the number of people who can fill these positions,” Cappas said.
Dan Nogal, director of compensation and administration at the Venetian and Palazzo, echoed what Cappas said.

“In some departments like finance, engineering, IT and even some hospitality positions, we are indeed looking outside of our industry to attract talent,” he said. “Those positions are the same, and the skills apply whether the person was at the Venetian, Boeing or IBM.”

Technology is also helping recruitment efforts. There are no gaming companies without an online presence and the ability to accept applications online. And with gaming spreading to all but two states in the U.S., the online application process lets companies find talent in places they may not have previously looked.

“Automation is the number one thing,” said Station’s Murzl. “The automation has allowed us to attract people from all over the nation. It makes a huge difference to be able to have applicants from throughout the country, rather than limiting the search to people in and around Las Vegas.”


The More Things Stay the Same

As much as things have changed, at the end of the day, the gaming industry faces the same issues that all employers face. People want to work for successful companies that offer premium wages, good benefits and a comfortable work environment. They want the chance to advance their careers within the company, without having to constantly relocate.

Station Casinos has been named one of Fortune magazine’s top 100 companies to work for three straight years. That award alone has helped the company in it’s recruitment efforts.

“When we opened Red Rock, people said they wanted to work here because of the recognition from Fortune,” Murzl said. “That means a lot to people because they understand what that award means. It’s pretty difficult to win that.”

One of the reasons that the company won the award is because it takes an active role in helping employees in their day-to-day lives. While some companies only care about their workers for 40-hours a week, Murzl said Station focuses on how to make an impact in the lives of its team members when they are away from the job. The company offers scholarship programs for dependants, and special classes on how to deal with the current housing market and avoiding pitfalls of buying a first home.

“If we make your life easier, happier and more complete, and you have better economic satisfaction, then we make a different in your life,” she said.

Boyd, too, is banking on its reputation as a good employee that promotes a family-like environment to ride out any minor disturbances that could come in the employment market. The way the company handled the closing of the Stardust, by offering early retirement to those who wanted it and moving other employees to different casinos throughout the city, speaks volumes to people looking for a place to work.

“We’ve been through this before, having been around as long as we have,” Stillwell said.

“We started in 1975 and there have been several growth periods during the course of three decades. At the end of the day, it’s our reputation as a good employer and being a good place to work that has carried us through.”
Gentry echoed those sentiments in explaining how the basic operating strategy at Las Vegas Sands has helped the company continue to grow.

“Our basic strategy is to treat people with respect, offer them premium wages and the very best benefits package in the industry and create an environment where people want to come to work at the Venetian and Palazzo. Money is nice, everybody likes to have money, but it’s not just that one issue,” he said.

“Employees want to feel that they make a difference and that they are valued by the company,” added Cappas. “People don’t leave for the additional 10 cents down the street or anything like that. They want to start a career.”

Allowing growth within the company is something all operators who responded to Casino Connection’s inquiries talked about, too. Las Vegas Sands, Boyd Gaming, Harrah’s and Station all have programs in place that allow people to climb the corporate ladder and move up from entry-level positions to management positions.

“Part of it is attracting and hiring folks, but in order to retain them, you need to have development and training plans in order to help them expand their career options,” said Nogal.

“By investing in our people today, we’re creating tomorrow’s leaders within out company,” added Boyd’s Stillwell.


The Center of Attention—Harrah’s Employment Center staffs a gaming empire

Maintaining a workforce of 27,000 employees isn’t a simple task, especially in an industry that deals with sometimes staggeringly high levels of employee turnover. Managing such a massive army of employees is even more difficult when they’re spread out at eight different properties along and near the Strip.

Keeping properties staffed means hiring anywhere from 400 to 600 new employees every month, from a pool of about 22,000 individuals who apply for work online and in-person at the company’s now one-year-old Employment Center located on Flamingo adjacent to Bally’s. The center, which opened in November 2006 at a cost of $3.5 million, is just part of the company’s efforts to attract and retain employees in an increasingly tight labor market.

The 12,000-square-foot facility, open Monday through Thursday from 10 a.m. to 2 p.m. for walk-in applications, features 36 computerized application stations, four plasma screen television screens scrolling through current job openings, a reception desk and a welcome area with seating for up to 40. The center is staffed by employment professionals—who altogether speak seven different languages—including a greeter who can direct prospective applicants to various service resources.

“We’ve developed the Employment Center just as we develop our properties for our guests,” said Chris Cappas, vice president of employment and training for Harrah’s. “We make sure our amenities match what our valued guests receive out in the casino.”
What follows after applicants finish filling out all necessary paperwork and assessments varies depending on the position for which they are applying. They may go immediately to a one-on-one interview with a recruiter, or for prospective employees who will be interacting with guests, they will participate in a panel interview including various property executives.

“The panel interview is very interactive, because we’re trying to gauge the personality of the applicant,” Cappas said. “We’re looking for upbeat, positive candidates at this point. We can teach them the skills they need to succeed, but we can’t change their attitude or personality.”

The Employment Center isn’t just for those new to the Harrah’s team. It is also where current employees go to apply for transfers throughout the company, and also where workers can renew their alcohol awareness or gaming cards.

The center, because of its size and convenient location, also serves as the center of recruitment for the massive amounts of temporary workers needed to staff the World Series of Poker every summer, as well as to prepare for events like New Year’s Eve and the Super Bowl.“It’s basically a one-stop shop for all employment needs,” Cappas said.

“With new properties opening up throughout Las Vegas, we’ve had to adjust out recruiting strategy, and this is just one part of that. It’s about finding what will be the best fit, not only for the applicant, but for out properties
as well.”

Greg Jones is the managing editor of the Nevada issue of Casino Connection, as well as the associate editor of Global Gaming Business.