Virgin Las Vegas Workers Announce Strike amid Failed Negotiations
Hundreds of hospitality workers at Virgin Hotels Las Vegas have announced their intent to strike after negotiations with Culinary Local 226, the Las Vegas hospitality union, failed to produce a multi-year contract agreement. This decision, according to the Las Vegas Review-Journal comes after the union and hotel management reached an impasse on November 14, just days before the highly anticipated Las Vegas Grand Prix.
The exterior of Virgin Hotels' property in Las Vegas. (Source: Virgin Hotels)
LISTEN TO THIS ARTICLE:The union had set a deadline for 5 a.m. November 15 to encourage a resolution, but as negotiations stalled, the workforce, which includes approximately 700 non-gaming union members, opted for a work stoppage. This will mark the second time Virgin employees have walked off the job this year, following a previous two-day strike in May.
Related: Vegas Casino and Transportation Strikes Called Off at the Last MinuteOne of the primary sticking points in negotiations is the issue of wage increases. Virgin Hotels initially proposed a contract without wage raises in the first three years, a provision union leaders found unacceptable. In a statement, Virgin management explained that, in an effort to reach a compromise, they offered to accelerate a portion of wage increases initially slated for years four and five.
This adjustment was intended to ensure that employees would see raises within the first three years of the contract. The hotel characterized the union's stance as one of "take it or leave it," which, it argued, created a situation that was not economically viable for the property and posed a risk to team members' welfare.
Culinary leaders, however, described the hotel's proposal as fundamentally inadequate. In a statement posted on X, formerly Twitter, union officials remarked that the hotel's offer fell significantly short of expectations. The union contended that the hotel's proposal was an affront to workers who were united in their decision to reject a "second-class contract."
Culinary members have emphasized their dedication to securing an equitable contract that aligns with agreements reached by workers at other major Las Vegas properties. Culinary Local 226 has asked customers and community supporters to respect the picket line during the strike and refrain from crossing it to enter the property.
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As of this announcement, Culinary workers at Virgin Hotels Las Vegas are among the last unionized employees in the Las Vegas area without a current contract. The union successfully negotiated multi-year contracts with other casinos and hotels on the Strip and downtown, including agreements at prominent Strip operators such as MGM Resorts International, Caesars Entertainment, and Wynn Resorts, where they secured a significant 32% increase in wages and benefits, along with gains in workload protections and other benefits.
Those negotiations concluded late in 2023 and earlier this winter after months of discussions. In the case of Virgin Hotels, Culinary leaders opted to extend negotiations due to financial constraints surrounding the property's new management, which took over the former Hard Rock Hotel and rebranded it as Virgin Hotels in March 2021.
The Culinary union used the upcoming Formula One race as a strategic leverage point, citing the increased demand for labor and revenue in the lead-up to the event as an opportunity to push for a landmark contract. In its recent negotiations with MGM, Caesars, and Wynn ahead of race week, the union was able to expedite settlements that had been pending for seven months.
Union officials indicated that the Virgin Hotels contract negotiations, however, have been far more difficult, with the hotel's proposed freeze on wages during the initial three years of the contract emerging as a major obstacle.
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