With the recent amendment to the gaming law, especially with regard to the requirements for the operation of satellite casinos and the allocation of gaming funds in the social security system, we must pay attention and prioritize the long-term interests of the members of this industry and of all residents.
Due to the impact of the pandemic and other factors in recent years, the economy has suffered immensely. The gaming industry especially, with several VIP lounges closing and satellite casinos reporting difficulties. Especially after the Grand Emperor Hotel Macau announced that it will end its gaming activity next month, several rumors about the closure of a number of other casinos are worrying workers, who fear losing their livelihood.
There are currently 22 satellite casinos. Initially, the law review required them to be located on their concessionaire’s property, although most did not meet this requirement. This obligation would have a massive impact on the industry, employees and business environment. The latest legal adjustments have optimized the operating system of these establishments, also ensuring that the entire industry is regulated, minimizing the impact on stakeholders, employees, and related commercial space.
However, not knowing the objectives of each of these satellite casinos, we hope that the Government will continue to supervise the industry and communicate with its stakeholders, with good management and promotion of concessionaires and satellite casinos, without forgetting its responsibility Social. It is important to safeguard the subsistence of these workers and assume a relevant role in the stability of our society, as if it were a large industry.
The review of the law also indicates that if a satellite casino is closed for legal reasons or contractual reasons, by decision of its management or legal violation, it will not be able to resume activity in the same location.
Therefore, we urge the entire industry to seize the opportunity offered to them.
The new document also indicates the importance of the public interest, especially with the expansion in the foreign market. Subject to analysis by the Specialized Commission on the Gambling Sector, the Chief Executive’s Office may exempt the concessionaire from its responsibilities in the areas of culture, education, urban development, tourism promotion and social security.
It is important to understand that, in the long term, the gambling industry’s dependence on Mainland China and Hong Kong markets meant that it developed few opportunities for expansion, together with the low contributions of gambling in Macau compared to other countries. markets, which does not attract new customers. The Government therefore hopes that the amendment to the law will encourage concessionaires to seek more international customers. However, these changes should not influence the proportion of funds earmarked for social security.
The current social contribution is low, and largely depends on the Government. About one percent comes from the budgetary contribution of the MSAR Budget, three percent from the balance of the execution of the MSAR’s central budget for each financial year ended and 1.8 percent from gaming contributions. With an aging society, the costs of the social security system will inevitably increase. For this same reason, over the last few years, several deputies have expressed their desire to see a legislative change that increases the proportion of gambling revenue invested in social security, in order to guarantee the necessary resources for its future. However, the Government not only rejected this suggestion, it even presents the possibility of reducing the funds.
As increases in retirement benefits, disability insurance and social security follow different parameters, they are highly influenced by savings and funding from the Social Security Fund. That’s why it’s so important to think about it. By requiring these funds to remain, with a possible increase in the proportion of gaming revenue invested in the Social Security Fund, the resources necessary for their operation can be consolidated and ensure that residents receive their pensions and other social protections.
*Deputy of the Legislative Assembly of Macau/Federation of Associations of Macau Workers