US online casino expansion hopes for 2025 may depend on lawmakers’ ability to get casino and hospitality workers’ unions on board. Unfortunately, live dealers striking more than 5,500 miles away from New York at Evolution‘s Georgian studios in Tbilisi may hurt some of the arguments that those lawmakers put forward. On the other hand, it seems to be building solidarity between live dealers and their retail counterparts, which could ultimately be a good thing for iGaming bills if the labor dispute comes to an acceptable resolution.
Does that mean land-based casino workers unions consider live dealers potential union members? If live dealers become union members, will unions stop objecting to iGaming legalization? Or will unions support iGaming workers on a state-by-state, case-by-case basis?
In 2024, online casino bills failed primarily due to unions representing land-based casino workers claiming iGaming would kill union jobs. For instance, in New York, the New York Hotel Trades Council (HTC) unequivocally opposed the 2024 iGaming and iLottery bill because union leaders believed online casinos and poker rooms would “cannibalize” land-based casino revenue. Less revenue would equal loss of casino jobs, they theorized.
Perhaps as a consequence, New York Gov. Kathleen C. Hochul, who tends to side with unions, never met with state Sen. Joseph P. Addabbo Jr. to discuss his 2024 bill. However, Hochul’s office told Bonus on Aug. 29 that she will consider Addabbo’s 2025 iGaming and iLottery bill if the New York State Legislature approves it.
In 2024, state lawmakers from Maryland to New York attempted to defend against those cannibalization claims with a two-pronged argument. Their first point was to cite studies showing that real money online casinos actually bolster land-based casinos’ business. However, they also pointed to the new jobs that appear when online casinos lead to the opening of live dealer studios. Lawmakers said that live dealers would probably join the unions, so employment and union enrollment would increase.
However, a new argument from union leaders may enter committee hearing rooms in 2025.
If it does, it may center on casino worker union leaders’ concern for live dealers employed in other markets by Evolution (Evolution AB (publ) 3,43 +2,08%). The Malta-based online casino product and services provider has 16,000 global employees.
Evolution’s US live dealer studios dominate the American iGaming market, serving online gambling operators like BetMGM, DraftKings (DraftKings 39,28 +3,37%), and FanDuel.
Here’s the argument lawmakers may hear in 2025.
Strike in Tbilisi Subject of US Union’s Testimony
Evolution employs over 16,000 workers worldwide, over a third of whom are in Georgia. A significant number of those workers — likely thousands, though estimates vary widely — have been striking since July. They’re protesting what they say are low wages and poor working conditions.
The situation has been escalating, with both sides accusing the other of unfair, illegal, or violent acts. Evolution has already begun mass layoffs and a reduction of its presence in the country as a result of the strikes.
On Aug. 22, a Culinary Union Workers Local 226 leader told the Nevada Gaming Commission (NGC) that the union stood with Evolution’s striking workers in Tbilisi.
The Las Vegas-based union represents 60,000 hospitality workers.
Culinary Union Secretary-Treasurer Ted Pappageorge said:
The Culinary Union offers solidarity to the Evolution workers in Georgia and asks the Nevada Gaming Commission to take into consideration the labor practices of this company, in Georgia and anywhere else, as the Board reviews the potential application for a Nevada gaming license related to the acquisition of Galaxy Gaming.
Culinary Union urges the Nevada Gaming Commission to reject Evolution’s application if it continues to refuse to treat its employees with respect and provide for decent wages and safe working conditions.
Michael Lawton, a spokesman for the Nevada Gaming Control Board (NGCB), told Bonus on Sept. 5 that Evolution hasn’t requested a gaming license. Its only involvement with the state regulator is due to its intent to acquire Galaxy Gaming. Evolution announced on July 18 that it planned to buy the Las Vegas-headquartered table game designer for $85 million. Galaxy owns the patents for several side bets used in Evolution’s games.
It’s unclear at this point whether other union leaders will take a similar stance to Pappageorge. Bonus emailed HTC Political Director Bhav Tibrewal on Sept. 4 and received no response. Bonus again contacted the union representing casino workers who serve 20 million New Yorkers on Sept. 5. Again, there was no answer to the question, “Does what’s happening in Georgia with Evolution have any impact on your view of legalizing iGaming in New York?”
Tbilisi Live Dealers Don’t Serve US Gamblers
Laws that govern online casinos in most states require live dealer studios to be built within their borders.
So, Evolution has studios in Connecticut, Michigan, New Jersey, and Pennsylvania. The studio in the Keystone State serves bettors in West Virginia via a live stream that Evolution broadcasts from its Philadelphia studio.
US representatives of Evolution didn’t comment for this story.
As Evolution’s 2023 Annual Report shows:
Tbilisi is Evolution’s largest hub, where a mix of English-speaking and international game presenter teams are working.
Civil Georgia — published by the UN Association of Georgia — estimates the size of the strike at 4,000 workers, saying it began on July 12 with workers “demanding a pay raise and proper working conditions.”
Most Georgian staff is known to be made up of local students seeking employment to make ends meet.
On Aug. 21, nonprofit UNI Global Union reported four “activists” had been on a hunger strike since Aug. 12.
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