NEWS HR
Racing Victoria cuts jobs to recover financial losses
MELBOURNE: Racing Victoria has made sweeping job cuts as it attempts to stem losses amid a downturn in losses.
The body, which controls prize money for Victorian racing, declined to reveal how many jobs went, but sources claim as many as 30 roles were made redundant this week.
It comes after a secret document revealed that the Victoria Racing Club was seeking to slash prize money to the All Star Mile and Australian Cup to increase the Melbourne Cup to $10 million.
Job cuts were across the board, but included on air talent from Racing.com.
“Along with a decline in wagering revenue, the RV Group has experienced changes to its previous funding model and ongoing pressure on operational costs,” Racing Victoria said in a statement.
As a result, a number of roles across all levels and divisions of the RV Group, including the recently integrated RV-owned media businesses, will not be a part of the future structure.”
Racing Victoria apologised for the cuts, saying it was a “tough time” for those who lose their jobs.
“These are people who have given great service to the RV Group and the Victorian racing industry,” it said.
“RV will continue to support those impacted who will receive their entitlements, which are typically based on length of service, while providing access to continued Employee Assistance Program (EAP) support after their employment ends, along with one-on-one career transition coaching.”
Victorian racing received a bump in wagering during the Covid-19 pandemic, when it was one of the only sports allowed to continue during Melbourne’s lockdowns.
However, wagering declined when the state reopened, leaving the industry struggling to maintain the same levels of prize money.
RV announced an $11.8 million loss in the 2024 financial year, while the VRC has lost $70 million over four years.
However the VRC has presented projections that show it will return to profit over the coming years.
Moonee Valley Racing Club will close down its track after the Cox Plate for redevelopment, while the Melbourne Racing Club has scrapped a plan to rebuild its stand at Caulfield.
The moves in Victoria racing come as NSW racing sets to receive a $5 billion boost if Australian Turf Club members approve the sale of Rosehill racecourse.
The Rosehill site will be turned into a mini-city, with 25,000 apartments and townhouses.
The ATC has promised some members five years’ free membership and $1000 in hospitality vouchers if the sale was approved.
Former Aristocrat Managing Director for Asia, Vincent Kelly has died following a lengthy health battle. Kelly, who revealed publicly in late 2023 that he had been diagnosed with stomach cancer, spent three years based in Macau overseeing Aristocrat’s Asian operations before returning home to Sydney in late 2017, which allowed him to spend more time with family. Born east of London, England, he previously worked in the alcoholic beverages industry and first moved to Hong Kong in 1999 working with Carlsberg. He moved to Australia in 2002.
Urban Resort Concepts (URC) has announced the appointment of senior executives to lead its corporate team Asia. The team includes: Nicholas Liang, Vice President of Operations, Michael Faulkner, Vice President of Brand and Commercial, Andreas Zimmermann, Vice President of Development and Jessie Lai, Office Manager and Executive Assistant to the CEO.
Wayne Mutton has taken the reins as the new general manager of Wagga RSL Club.
SkyCity in court over transactions without proper anti-money laundering oversight
AUCKLAND: SkyCity will likely face a $4.16 million fine for breaching anti-money laundering and terrorism financing obligations after about a billion dollars changed hands without proper oversight.
The High Court at Auckland today heard that SkyCity Casino Management (SCML) had stopped dealing with international casinos or money remitters on behalf of clients.
The casino’s counsel Alix Boberg said these changes were part of a series of reforms tackling high-risk aspects of the casino’s international business.
SCML earlier this year admitted breaches spanning from 2018 to 2023, which related to largely historical matters.
"It fully accepts these were serious and long-term failures and they did affect a significant volume of transactional activity," Boberg told Justice Neil Campbell.
The Auckland casino operator could have faced a fine exceeding $5m but Boberg said it and the Department of Internal Affairs agreed that a 25% discount was available.
The discount and credit was for full co-operation with the investigation.
"Those failures were not intentional or deliberate failures," Boberg told the pecuniary penalty hearing.
Internal Affairs and SkyCity largely agreed on the nature and severity of the breaches.
The court heard that a remarkable aspect of the case was the huge volume of transactions carried out without proper oversight.
Boberg said that since the scandal, SkyCity had greatly bolstered its anti-money laundering team.
The proposed agreed penalties were in the 75-80% range of the maximum possible penalty, she said.
Boberg said SkyCity acknowledged the failures were serious.
"And in some cases its non-compliance was long-term."
But she said there was no intentional non-compliance.
Boberg said the casino had been subject to regular reviews and on-site inspections from regulators.
"They concluded that SkyCity’s processes had an overall high level of compliance."
Internal Affairs counsel Sam McMullan said there was no suggestion SkyCity had wholly disregarded its responsibilities.
But he said "$1 billion or so" of transactions went through without adequate oversight.
McMullan said Internal Affairs had engaged with SkyCity over time on related non-compliance issues, "all of which weren’t remedied".
Justice Campbell said he would issue his judgment later, probably in three to four weeks’ time.
The Auckland casino shuts next week from the start of Monday to the end of Friday, as punishment for a separate issue relating to breaching its host responsibility programme.
The company said it would roll out a "no card, no play" system next year as part of responsible gambling reforms.
Premier Steven Miles gambles millions to keep Queen’s Wharf open
BRISBANE: Hundreds of millions of taxpayer dollars would be gambled by Premier Steven Miles on embattled casino giant Star as its lenders and shareholders baulk at offering help.
It comes as the state’s most powerful union called on governments, including in NSW, to do all possible to secure livelihoods of Star’s 8000-strong workforce - 3000 of which are in Queensland.
Star’s financial results from 22/23 show it paid $183m in taxes and levies to Queensland, though the earning abilities of Queen’s Wharf would likely increase the contribution.
Mr Miles declined to go into "every element" of negotiations with Star, but affirmed the state government would consider deferring, not waiving, the gambling giant’s tax liabilities.
He said his priority was ensuring thousands of workers remained employed.
"That’s my priority here. That’s my focus here. No one is entertaining waiving any funds. We want to make sure taxpayers receive the full dividend from this project," Mr Miles said.
But should the ASX-listed Star implode, Queenslanders would be on the hook, with Mr Miles saying the state would join the list of the company’s creditors.
The United Workers Union called on Star, regulators and government to "prioritise the jobs of 8000 workers" across two states as the company’s future hung in the balance.
"It’s hard to overstate the exhaustion and fear these workers have endured in the last couple of years, let alone the last couple of days," UWU casinos director Andrew Jones said.
Mr Miles confirmed he had not had discussions with UWU head Gary Bullock in recent weeks over the Star issue.
Opposition justice spokesman Tim Nicholls argued the state government knew "some weeks ago" Star Entertainment Group was in trouble and demanded the state provide answers.
"Star is seeking to minimise paying its gaming revenue taxes and its payroll tax until it can establish itself... it’s all been done behind closed doors," he said.
"Why did they still grant Star casino a license to operate?
"After the (Queen’s Wharf) opening, after all the bright lights, after Steven Miles has got the photo-op walking across the Neville Bonner Bridge we find out Star is in financial difficulty."
Mr Nicholls questioned why the state government was offering to bail out a billion-dollar entertainment giant with international backers and question marks over its suitability to run a casino.
"It stinks to high heaven," he said
He pledged to release a report into the suitability of Chow Tai Fook to operate the casino if the LNP is elected on October 26.
Brisbane-based conservative think tank Australian Institute for Progress argued taxpayers shouldn’t have to take the pain for Star shareholders
"If Star’s shareholders and bankers are not prepared to stump up the money because they obviously think it is too high risk, then the state government should not be considering putting taxpayer’s money in," AIP executive director Graham Young said.
"Particularly in a cost-of-living crisis when taxpayers themselves are struggling financially."
