At a time when New Jersey legislators are in deep deliberations over the expansion of the state’s casino industry through the establishment of two gambling venues in North Jersey, Atlantic City, once known as one of the world’s most popular casino destinations, is now trying to somehow improve its struggling economy.
According to a report, compiled by Stockton University’s William J. Hughes Center for Public Policy, the resort’s labor force is in a state of “free fall” and job losses are currently not something unusual there. Many of Atlantic City’s problems were attributed to its ailing gambling industry, which has been a major boost for local economy for quite some time now.
In 2014, four of the resort’s twelve casinos closed doors for visitors over the span of several months. As a result, 8,000 casino workers remained unemployed. Stockton University scholars pointed out in their report that Atlantic City is among 35 US metropolitan areas to have posted year-on-year job losses over the past 24 months as of November 2015.
Atlantic City experienced its employment peak of a little less than 154,000 jobs in 2005. Since then, 22,000 people have lost their jobs, of which 20,000 have been employed in the city’s casino industry. And according to the report, as of November 2015, the casino industry employment was down by 4,100 jobs as compared to the figures posted for the same eleven-month period of 2014.
People with knowledge of the matter believe that things may get even worse as the state Legislature is likely to pass an amendment that would authorize the construction of two casino complexes in North Jersey. Supporters of the measure have repeatedly pointed out that when and if launched, a portion of the revenue generated by the two new gambling venues would go to Atlantic City in a bid to bolster its economy. However, the said constitutional amendment will first need to be approved by New Jersey residents.
Oliver Cooke, an economist at Stockton University and author of the above-mentioned report, commented that if a gambling expansion outside Atlantic City eventually takes place, the city’s eight operating casino properties may find it hard “to continue to move forward.” Mr. Cooke added that Atlantic City will have to find another industry to take hold in order to revitalize its economy.
