My father for the last several years has worked as a dealer at Hollywood Casino in Aurora, IL. Because he needed the income to supplement my mother's in the raising of their 3-year-old granddaughter (among other things), it wasn't as if his job was his dream job, but at his age, what's he going to do? McDonald's?
He made some good money there, even though his work scheduled sucked (8:00 p.m. to 6:00 a.m. four nights a week).
Well, as many folks here may have read, Blagojevich and the Democratically-controled Illinois General Assembly just jacked up Illinois' casino tax to a confiscatory rate of 70%. Wow!
Already at the highest in the nation at 50% the last two years, the new rate of 70% goes into effect July 1, 2003. Plus, the "admission charge" goes from $3 to $5 per person. Patrons never had to actually pay this charge, because the casinos just paid it based on number of people attending. Now, however, the casinos are going to charge admission just to get in.
My father has informed me that at his casino alone, 130 people were laid off this past Wednesday, the 25th. Another 170 people were called at home and told they're history. My father was in Human Resources Wednesday and was told his last shift is this Sunday night. One of his friends there who just bought a house got the axe.
Now they're all going to be added to Illinois' unemployment rolls, lining up to collect unemployment insurance from Illinois' already in-the-red unemployment insurance fund.
A total of 300 people are being fired from the Hollywood Casino alone. Furthermore, they increased the cost of parking there by 100%. They are eliminating over half their table games and all their "revenue sharing" slot machines (that's where casinos share slot revenue w/ the machines' manufacturers).
The other Illinois casinos are following suit--all because of the outrageous tax rate of 70%. Our greedy governor is convinced that this increased tax will bring in several hundred million dollars of additional revenue for the state. Imagine his surprise when he finds out that this will not only NOT happen, but that even LESS tax revenue than before will be the result.
Another stupid idea on his part: In the tax increase Blagojevich opposed the lifting of gaming positions in Illinois casinos. Illinois is the only state in the nation whose casinos are limited to a fixed number of gaming positions: 1200 per casino. One slot machine = one gaming position. One card table game = seven positions. One craps table = 15 positions.
Neighboring Indiana, whose casinos number 2500 to 3000 or more positions, is raking in the money, thereby producing increased tax revenue for that state. Furthermore, increasingly more Illinois residents are going to Indiana's casinos for this and the above reasons. Moreover, Indiana for the first time ever surpassed Illinois' casino revenue for the year 2002.
But our governor is blind to this, stupidly thinking that increased taxes results in more revenue. You see why this isn't the case? Heck, in NY, the increase in the cigarette tax has had the opposite effect, driving people to New Jersey and other underground places to buy their smokes.
Even Illinois' AFL-CIO president Margaret Blackshere opposed this tax increase. As she put it: "It's all about jobs."
She's right. Both her organization and the Republicans in the Illinois Legislature--an odd partnership there, indeed--vehemently fought this tax increase, but the Democrats saw dollar signs in their eyes.
Now my father has experienced this first-hand. Thanks, Governor, for causing him--and hundreds of others--to lose their job.
[ June 29, 2003, 01:29 AM: Message edited by: MIB ]