Book contents
- Frontmatter
- CONTENTS
- Acknowledgements
- List of Abbreviations
- List of Tables and Figures
- Chronology
- Introduction
- 1 We Are for Gambling: The Pre-Casino Years and Casino Legalization
- 2 Let the Gaming Begin: A New Era for Atlantic City
- 3 A Winning Bet? Success and Struggle in the 1980s
- 4 Recession and Recovery: Turning a Casino Corner
- 5 Casino Magnets: New Immigrants and Atlantic City Opportunity
- 6 Big Visions: Competition, Consolidation and the Great Tunnel-Connector War of the 1990s
- 7 New Stylings: Finance, Retail and Challenges at the Turn of the Century
- 8 Atlantic City and the American Casino Era
- Epilogue
- Notes
- Bibliography
- Index
4 - Recession and Recovery: Turning a Casino Corner
- Frontmatter
- CONTENTS
- Acknowledgements
- List of Abbreviations
- List of Tables and Figures
- Chronology
- Introduction
- 1 We Are for Gambling: The Pre-Casino Years and Casino Legalization
- 2 Let the Gaming Begin: A New Era for Atlantic City
- 3 A Winning Bet? Success and Struggle in the 1980s
- 4 Recession and Recovery: Turning a Casino Corner
- 5 Casino Magnets: New Immigrants and Atlantic City Opportunity
- 6 Big Visions: Competition, Consolidation and the Great Tunnel-Connector War of the 1990s
- 7 New Stylings: Finance, Retail and Challenges at the Turn of the Century
- 8 Atlantic City and the American Casino Era
- Epilogue
- Notes
- Bibliography
- Index
Summary
In November 1989, Trump Taj Mahal Vice-President Donald Buzney had a problem. The Taj was set to open within six months and it still had 3,100 unfilled positions. Buzney's solution was outreach. In an unprecedented strategy for Atlantic City casinos, he prepared the Trump Organization to recruit employees from outside the region. To fill the jobs, Trump would end up recruiting workers from Gary, Indiana, Washington DC, Puerto Rico and Ireland. Trump's outreach to Gary also highlighted the reality of looming competition for the Atlantic City casinos, as Gary residents had just voted in favour of casino gaming in their fading rust-belt city on Lake Michigan. Perversely, the possibility of Gary casinos actually served as a selling point for creative Trump recruiters, led by Donald's brother Robert. He suggested that Gary residents could take jobs at the Taj to learn the casino business in preparation for a future move back home to work in a Gary casino.
The Taj's employment issues highlighted a broader crisis of uncertainty in the casino industry, at its lowest point since the era began in 1978. No one really know what impact the Taj Mahal's opening would have on the resort community and the broader casino industry, but it was hard to miss the potential danger and industry-wide anxiety as the 1990s began. Total casino revenue had essentially stagnated and actually declined when adjusted for inflation. The overall rate of revenue growth had slowed to 2.6 per cent, down from 9.5 per cent in both 1987 and 1988. Costs and expenses were rising at a faster rate then revenue growth in the same period. An Atlantic County report summed up the uncertainty and anxiety, especially with regard to the employment impact:
The absorption of the Taj Mahal into the mature casino gaming market will have positive, though unknown, economic impact … The economic impact of the Taj Mahal opening will depend on the degree that Taj Mahal employment exceeds the contraction of employment in other casinos.
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- Information
- Gambling on the American DreamAtlantic City and the Casino Era, pp. 95 - 130Publisher: Pickering & ChattoFirst published in: 2014