According to the latest reports, union members at Detroit’s three casinos have overwhelmingly voted in favor of authorizing a strike, if necessary. The vote got 99% approval as the announcement by the Detroit Casino Council stated.

Interestingly, this is happening at the same time when Michigan’s online gambling industry experienced significant growth. Back in 2022, the industry reported nearly $2 billion in revenue, which is a 41% increase from the previous year, according to the MGCB. If one were pressed to guess the reason behind this amazing growth, the various offers like a no deposit bonus at MI online casinos have likely played an important role.

This substantial revenue encompasses both commercial and tribal operators, with internet casino games contributing $1.58 billion in total gross receipts. During this time, online sports betting generated nearly $400 million. Data from the same report, however, tells a different story for the land-based casino industry.

The vote comes as the union is in negotiations for higher wages at MGM Grand Detroit, Hollywood at Greektown and MotorCity casinos. The council has the potential to call for strikes as early as mid-October when current contracts expire.

These very contracts were signed back in September 2020. It was after the COVID-19 pandemic shutdowns that the Detroit Casino Council agreed to a three-year contract extension. However, with industry gaming revenues surpassing pre-pandemic levels and the legalization of online gaming in Michigan, workers have been pushing for wage increases and better retirement benefits for a while.

The Detroit Casino Council’s negotiating committee represents a majority of workers at the three casinos. As for unions, the prominent names include UNITE HERE Local 24, Teamsters Local 1038, UAW,  Operating Engineers Local 324 and the Michigan Regional Council of Carpenters.

Their primary goal is to ensure that one job at a Detroit casino can provide sufficient income to support a family. If that happens, they’ll call off the strike.

What More Is Happening on the Online Side?

Across the U.S., the gambling industry is earning states more money than any other private business. Like many other states in the Union, Michigan experienced a massive growth of online gambling in 2022. After accounting for the value of bonuses the casino credited to players, the net results for the year amounted to $1.65 billion. In terms of profits, it’s an almost 48% growth from 2021.

The total amount wagered by players, commonly known as the handle, reached a whopping $4.6 billion in 2022. Compared to 2021, it’s $3.7 billion more.

Notably, MGM Grand Detroit emerged as the leading internet gaming operator in the state in 2022, with gross receipts exceeding $589 million. It also happens to be one of the three casinos in Detroit that is on the brink of suffering a strike.

Besides the casino component, BetMGM (the online counterpart of MGM Casino) reported the highest online sports betting handle, totaling approximately $991.1 million, with gross receipts of nearly $98 million.

MotorCity Casino and luxury hotel in Detroit, which is also the physical operator of the FanDuel sportsbook, reported the highest gross receipts from sports betting. It surpassed a whopping $163 million!

Over the years, the iGaming industry has proved itself to be a substantial source of tax revenue for the state. If you look at reports, you’ll notice that online operators have contributed nearly $303 million in taxes and other payments in 2022!

Detroit’s three commercial operators further added to the city’s coffers with $84.57 million in wagering taxes and municipal services fees linked to internet gaming activities. Tribal operators made payments of $32.83 million to tribal governing bodies.