Macau’s Secretary for Economy and Finance, Tai Kin Ip, says the government has conducted a thorough assessment of the operational status of satellite casinos, the number of surrounding businesses and the employment situation, and has already established contingency measures.
Macau’s satellite casinos will conclude a three-year transition period by the end of this year, after which time any wishing to continue operations must transition into management companies. As management companies they will only be permitted to collect fixed management fees and will not be eligible to share in gaming revenues.
During Tuesday’s Legislative Assembly meeting, several legislators expressed concerns about the situation of satellite casinos, including employee retention issues and the status of businesses surrounding the properties. Tai Kin Ip responded that the future of Macau’s 11 satellite casinos will come down to a commercial decision negotiated between the concession companies and the satellite casinos, with the government to provide assistance where needed.
“The government has sufficient experience to provide vocational matching for (satellite casino) employees and has considered both the minimum and maximum impacts,” he said.
Tai added that the government has a clear understanding of the various conditions of satellite casinos, including the situation of surrounding businesses, and emphasized, “The relevant legal framework has clearly stipulated the transition arrangements for satellite casinos.”
Some satellite casino operators have publicly declared their desire to continue operations beyond 2025 however none of the three concessionaires linked to these casinos – SJM, Galaxy and Melco – have confirmed their intentions and it remains unclear what new management contracts might look like.