Inside Asian Gaming

inside asian gaming October 2014 26 Feature head of residential properties at the firm. “According to our in-house statistics, on average, there will be about 2,700 new units completed each year from 2014 to 2016. It is believed that the new supply is inadequate to meet the strong leasing demand from expatriate workers.” Residents have become increasingly vocal in airing their dissatisfaction about the downsides of Macau’s economic development. In May, the city saw its largest street demonstrations since its return to Chinese sovereignty in 1999, with protestors decrying a lavish perks bill for senior officials. “With more and more demands from the community, the new administration cannot continue simply prioritizing commercial interests. It has to balance the interests of all sides now,” says Eilo Yu, associate professor for public affairs at the University of Macau. SHARING THE LOAD It appears the government is now intent on making the city’s casino operators bear some of the burden in striking that balance. In a bid to make Macau “a livable city,” Mr Chui has vowed to place the onus on arranging accommodation and transportation for migrant workers on casino operators and large companies. “How [the casino operators] do it is flexible. The principle is to let the gaming operators take up some of the responsibility and alleviate the capacity [of the city],” said Mr Chui, suggesting that possible options include operators directly providing housing or providing financial support to workers. His office declined Inside Asian Gaming ’s request for an interview to elaborate further. “At present we have already offered housing allowances to our non-resident employees,” SJM’s Mr So told the media after Mr Chui announced his election manifesto in August, referring to a Macau law that all local companies have to provide their migrant workers either housing or a monthly housing allowance of no less than MOP500 (US$62.6). He added: “We cannot build [the houses] in the air so where does the land come from?” MGM China Holdings is also waiting for discussions with the government on this “quite complex topic,” as CEO Grant Bowie puts it. “The issue still stands as Macau struggles with land, and we also need to collaborate in understanding where we should be building these types of facilities, if that’s the expectation on how we should be collaborating,” Mr Bowie stated during a recent media event. Galaxy Entertainment Group Vice Chairman Francis Lui also stressed during his company’s latest earnings call that his company always offers either housing or allowances to its imported workers. Furthermore, all six casino operators provide free shuttle bus services to their employees. Legislator Ella Lei of the Macau Federation of Trade Unions points out that unless the casino operators build new housing, they will continue exerting pressure on the local housing market. “If, instead, the companies only offer financial allowances to their non-resident workers, it will still drive up rental prices,” she says, while calling on the government to “strictly review” the foreign labor quotas offered to the casinos. Though Mr Chui has not outlined clearly what he wants, he is probably also looking for answers across the border. “This can be solved through regional cooperation [with Guangdong province],” acknowledges Davis Fong, director of the Institute for the Study Mr Chui announced in May that the government had asked Beijing for permission to use an additional 10 square kilometers of land on Hengqin to build accommodations for migrant workers. Guangdong Gov. Zhu Xiaodan responded that Hengqin must first undergo land reclamation before Macau is awarded any additional space on the island.