Casino giant sacks thousands after government's coronavirus ban
The Star Entertainment Group is the latest among listed firms to stand down the bulk of its workforce with 8100 staff suspended following the closure of its food, beverage, conferencing, and gaming facilities.
The company on Wednesday said its casino operations in Sydney, Gold Coast and Brisbane have been severely curtailed following government-imposed bans on gatherings and non-essential services, necessitating a temporary stand-down of 90 per cent of its staff, including some in senior management.
"The Star has taken a very difficult, but necessary, decision in relation to its workforce ... these stand downs include senior management," the company said in a release.
The Star has provided two weeks of paid pandemic leave and employees will be able to access any accrued annual and long service leave entitlements.
Hotel accommodation services remain open in a reduced capacity at this time.
Further details will be revealed in the coming days regarding cuts to fees and salaries of Star board members and senior management.
Shares in the company have lost 65 per cent of their value this year amid a wider market downturn.
At 11.55am (AEDT) shares in The Star were down 2.47 per cent at $1.57 despite a lift in the local bourse, with the company having hit an all-time low of $1.525 in early trade.
Rival casino operator Crown Resorts earlier this week said it was assessing what closures to its operations would mean for its 18,500 employees in Victoria and Western Australia.
SkyCity meanwhile has shut its Adelaide casino as well as its Auckland, Hamilton and Queenstown casinos in NZ.
Troubled airline Virgin Australia on Wednesday stood down about 8000 of its 10,000 workers until at least the end of May and further slashed domestic flight capacity in the wake of the coronavirus border restrictions.
Mosaic brands - the owner of Noni B, Rivers and Katies - also said it will be standing down 6800 team members across 1300 or so stores from Thursday.
Qantas has already suspended 20,000 of its 30,000-strong workforce, travel firm Helloworld has announced it will be sacking 275 people across its global network and standing down another 1300 workers.
Michael Hill jewellers has indefinitely shut its 300 stores.
Hospitality groups including Justin Hemmes' Merivale empire and The Federal Group have also suspended thousands of employees.
Westpac forecasts there will be over 814,000 job losses leading to an 11 per cent unemployment rate by June.
© AAP 2020