Two Vegas Strip casino-hotels MGM Resorts International operated settled religious discrimination charges over their handling of COVID-19 vaccine mandates, according to the U.S. Equal Employment Opportunity Commission (EEOC).
The settlements involve Aria and Luxor, who allegedly denied employee requests for religious exemptions during the COVID-19 pandemic.
Key takeaways
- MGM Resorts' Aria and Luxor casinos settled EEOC claims over religious exemption denials to vaccine mandates.
- The two properties agreed to training and compliance monitoring without admitting wrongdoing.
- The settlement follows a similar EEOC case against The Venetian, resulting in an $850,000 payout.
The EEOC found reasonable cause to believe both properties violated Title VII of the Civil Rights Act of 1964. While Aria and Luxor are licensed individually, MGM Resorts operated both, which declined to comment on the resolution.
The company didn't admit liability in the case but entered into separate conciliation agreements with the EEOC. The terms of those agreements weren't made public.
The settlement follows an earlier EEOC case where The Venetian settled its own discrimination lawsuit after agreeing to pay $850,000 and implement ‘significant policy changes’ to its operation.
MGM also fined for AML failures tied to illegal bookmakers
Separate from its case with the EEOC, MGM Resorts reached an $8.5 million stipulated agreement with Nevada regulators in April over anti-money laundering (AML) violations tied to known illegal bookmakers.
The settlement followed a Nevada Gaming Control Board (NGCB) investigation into MGM Grand's dealings with convicted illegal bookie Wayne Nix.
Former MGM Grand President Scott Sibella failed to report suspicious cash transactions from Nix, who gambled over $4 million at MGM properties using illicit proceeds. Sibella and two other MGM employees allegedly provided Nix with comps and access to a casino marker account. The executive failed to file required Suspicious Activity Incident Reports, violating Bank Secrecy Act protocols.
Nix reached a plea agreement in 2022 and admitted to charges related to illegal gambling and filing false tax returns. He is awaiting sentencing.
Vegas tourism drops amid broader economic uncertainty
The MGM enforcement actions are part of the persistent declining tourism problem in Las Vegas. Visits declined 11.3% year-over-year in June, with 3.1 million visitors compared with nearly 3.5 million in the earlier year, the Las Vegas Convention and Visitor Authority (LVCVA) reported.
A 10.7% decrease in convention attendance made the downturn more severe in convention attendance, wiping out May's increases. Hotel room occupancy also decreased, with Strip occupancy falling back to 81.9%, down from 88.3% in June 2024. Citywide hotel occupancy averaged 78.7% in June.
Passenger traffic at the Harry Reid International Airport decreased 6.3% in June, too. Canadian traffic remained slower than pre-pandemic traffic, as Air Canada registered a 13.2% passenger volume decrease during May and June and a 33% year-over-year decline.
The LVCVA said the decrease was due to decreased consumer confidence and lingering economic headwinds. Year-to-date visits were down 7.3% relative to 2024.
