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Taj Mahal union AWOL as casino teeters on brink

By
Josh Kosman
Published Dec. 16, 2014
Updated Oct. 25, 2022, 12:58 p.m. ET

Inaction speaks louder than words.

At the bargaining table, the absence of the union representing roughly 1,100 Trump Taj Mahal workers — with less than four days before the casino is slated to close — is leading some to believe it is willing to sacrifice the jobs to protect thousands more at four other Atlantic City casinos, sources tell The Post.

The union was offered a contract with fully restored health care benefits and a pension but with a potentially increased workload and the possibility of outsourcing, sources said.

But as of Tuesday night, it was not engaged in contract talks.

Meanwhile, the union, Unite Here 54, is expected to kick off contract talks in winter, with the contracts of Harrah’s Atlantic City, the Borgata, Resorts Casino Hotel and the Golden Nugget expiring March 15.

Critics said the union is fearful that any watered-down contract signed with the Taj would act as a template for the talks with the other casinos — hurting a much greater number of workers.

“That could be the case,” Imperial Capital analyst Gregg Klein told The Post.

A Taj deal will have “a huge impact” on the union’s upcoming negotiations with four of Atlantic City’s remaining eight casinos, Unite Here 54 delegate Theresa Volpe admitted to The Post.

“[Union president Bob] McDevitt doesn’t want to set a precedent,” another source close to the negotiations said. “He’s worried about the Taj setting a new bar.”

Unite Here 54 nationally represents more than 20,000 Caesars (Harrah’s parent) employees compared to 1,100 Taj workers.

Volpe, who in 2011 ran unsuccessfully against McDevitt to be the union local president, said she likes his hard stance.

“If we say yes today, then tomorrow we can be all gone,” she said, as Carl Icahn still wants to change the work rules allowing him to outsource.

“Why couldn’t he hire Merry Maids to clean the rooms?” Volpe said.

Taj management and the union as of Tuesday night were still not close to a deal, a source close to the talks said.

Icahn — who owns $292 million in bank loans to the crippled Taj Mahal and is seen as the only investor willing to consider throwing the Taj a financial lifeline — will likely decide Wednesday whether to provide about $30 million in emergency funding to keep the Taj operating, the source said.

If Icahn and the casino workers’ union fail to reach a deal — and if Icahn decides not to extend a loan to keep the lights on without a deal — the Taj is scheduled to close Dec. 20, leaving the 1,100 union and 1,900 non-union workers without jobs.

So far, the union is insisting on getting back practically all the benefits that workers had in their contract that expired Sept. 15, sources said.

Icahn did not return calls requesting comment.