Blackstone-owned Crown Resorts to cut up to 1,000 jobs as challenges mount

By Thomson Reuters Apr 29, 2024 | 12:39 AM

(Reuters) – Blackstone-owned Crown Resorts will cut up to 1,000 roles in Melbourne, Perth and Sydney, it said on Monday, as weak economic conditions continue to impact its business and as it struggles to keep up with regulatory obligations.

The job cuts will impact roles in the company’s casinos in Melbourne and Perth and some corporate positions across Crown Sydney.

“The challenges at Crown reflect greatly reduced foreign tourism, a sharp decline in local workers in the city centres, and restrictions on gaming play in Sydney and Melbourne,” Crown Resorts CEO Ciaran Carruthers said.

Crown currently has over 20,000 people working at its resorts in over 700 different roles, according to its website.

Last year, Crown had agreed to pay a A$450 million (about $296 million) fine for breaking anti-money laundering laws, after allegations over governance sparked inquiries in states in which it operated. The company was also investigated by the financial crime watchdog.

Crown Resorts was recently allowed to keep its license to operate its flagship Melbourne casino, and retained its Sydney casino’s license after near three years of intensive remediation.

“We are committed to our regulatory obligations and ongoing transformation, including Crown PlaySafe, Melbourne and Sydney Transformation Plans and ongoing remediation in Perth,” Carruthers added.

($1 = 1.5205 Australian dollars)

(Reporting by Roshan Thomas in Bengaluru; Editing by Sonia Cheema)