Crown Resorts will cut 1,000 jobs across Australia as the entertainment giant undergoes a major restructuring.
Casinos in Sydney, Melbourne and Perth will be hardest hit by the measure, CEO Ciaran Carruthers told staff in an email on Monday morning.
The bulk of the job losses will take place in Melbourne, home to Crown’s most popular entertainment district.
The move is expected to reduce overall headcount across corporate and district functions by four per cent, although the Perth site will be spared the worst.
Crown Resorts will cut 1,000 jobs in a new round of mass redundancies as the company carries out a major corporate restructuring. Most of the latest cuts will take place at the Melbourne casino (pictured)
The decision means that Crown will lay off five percent of its workforce, while the three casinos employ approximately 20,000 people.
Crown, which posted a $199 million loss last financial year, has been hit hard by regulations and fewer customers visiting its three casinos.
The ongoing cost of living crisis has also affected the company’s operations.
Difficult economic conditions and gambling regulations have forced the company into the latest restructuring.
“The challenges at Crown reflect sharply reduced foreign tourism, a sharp decline in the number of local workers in city centers and restrictions on gaming in Sydney and Melbourne,” Mr Carruthers said in a statement.
“This was a difficult decision, but we are focused on repositioning the company for long-term success.”
He stressed that the job losses would not affect the way Crown meets its legal obligations.
“We are committed to our regulatory obligations and ongoing transformation, including the Crown PlaySafe, Melbourne and Sydney transformation plans and ongoing recovery measures in Perth,” Mr Carruthurs added.
Employees at Crown Sydney are not believed to be directly affected by the latest job cuts, but the cuts will come from the corporate and hospitality departments.
The latest round of job cuts comes after Crown Casino in Melbourne cut 200 jobs earlier this year and switched their 2,600 poker machines to card games to help customers set gambling limits.
The company regained its licenses to operate casinos in Melbourne and Sydney earlier this month as it looks to continue its business operations.
The move means the company (pictured) will lose five percent of its workforce, with the bulk of the job losses coming from its Melbourne casino.
Crown CEO Ciaran Carruthers said the company is committed to implementing a range of regulatory measures to help reduce gambling problems (photo of customers at a Crown casino)
Crown was the subject of two scathing royal commissions into their casino operations, which found the company engaged in money laundering, including at its Melbourne casino.
Ray Finkelstein, the Victorian Royal Commissioner, branded the behavior “disgraceful” and said in his final report released in October 2021 that the activities were illegal, dishonest and unethical.
Daily Mail Australia has contacted Crown Resorts for further comment.