Home Labor RelationsSupreme Court Denies Stay in Station Casinos vs. Culinary Union Case

Supreme Court Denies Stay in Station Casinos vs. Culinary Union Case

by Sienna Marques
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Supreme Court Denies Stay in Station Casinos vs. Culinary Union Case

The ongoing conflict between Station Casinos and the Culinary Union in Las Vegas has reached a new milestone, making its way to the US Supreme Court this month. On September 4, Chief Justice John Roberts denied Station's emergency request for a stay regarding a federal appeals court ruling that mandated the company's Red Rock Casino Resort Spa in Summerlin engage in good faith bargaining with the union, following a failed labor vote in late 2019. Roberts provided no explanation for his decision.

The National Labor Relations Board (NLRB) determined that Red Rock had obstructed a fair union election. Station Casinos subsequently challenged this ruling, but it was upheld by the US Court of Appeals for the District of Columbia last month. The appeals court denied a request for rehearing on August 6 and rejected Station's request for a stay on August 24, pending a potential Supreme Court review.

While Red Rock might still ask SCOTUS to hear the case, the casino is obliged to comply with the NLRB ruling in the interim. This ruling compels the casino to acknowledge and negotiate with the union upon request while also posting notices regarding employee rights.

Station Casinos expressed their discontent with the NLRB's decision, claiming it undermines the will of Red Rock’s employees who voted against unionization. They stated, "The decision prevents any company from granting benefits to its employees if it is aware of union interest in unionizing the company’s employees and nullifies the Red Rock team members’ vote to be union-free, all because Station Casinos treated its team members too well."

The Culinary Union refrained from commenting on the matter. This conflict, which has transpired over many years, has included public disagreements, regulatory complaints in Nevada, and several legal challenges. The election at Red Rock in December 2019 has been a pivotal moment in this prolonged feud.

On November 19, 2019, Station's management announced extensive changes to employee benefits across its 14,000 staff members at ten properties. Two days later, the Culinary Union submitted a petition to represent Red Rock workers. In December, Red Rock employees voted against unionization with a count of 627 to 534, but the NLRB and the DC appeals court have found that the company acted to hinder a fair election process. The timing of the benefit changes and the unionization petition remains a contentious issue.

Station's petition to the Supreme Court emphasizes that while the benefits overhaul occurred prior to the union's petition, the District Court deemed the rollout as a potential deterrent to union organizing efforts.

Despite Station's stiff opposition, Culinary Union has made significant strides in other areas. The entire Las Vegas Strip is now unionized, and Culinary employed city-wide strikes in late 2023 and early 2024 to secure multi-year labor agreements with major operators like Wynn, Caesars, and MGM.

For years, Las Vegas Sands had been the only major non-union operator alongside Station. However, following the sale of the Venetian-Palazzo to Apollo Global Management in 2021, the new owners agreed to the union's terms, culminating in the first labor contract for the property in 2024.

Political tensions have also arisen amid the feud. Station Casinos, led by the Fertitta family known for their Republican support, contrasts sharply with the Culinary Union's Democratic affiliations. Last month, former President Donald Trump held a rally at Red Rock and praised the Fertittas. Meanwhile, the Culinary Union criticized the event, asserting that Governor Joe Lombardo should be accountable for siding with Station Casinos and Trump's economic policies, particularly as he campaigns for re-election in a state dependent on unionized hospitality workers. The union stated, "Culinary Union is demanding to know why the governor stands with Station Casinos and Trump’s harmful economic agenda instead of fighting and delivering for the working people who power Nevada’s economy."

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