The economic impact of Pennsylvania’s new land-based casinos during fiscal year 2021/22 is evident in the PGCB’s Annual Diversity Report for the state’s casinos.
These new retail casinos (along with increased online betting options) have helped contribute to new record PA gaming revenue as well as economic benefits like increased number of jobs and employees.
In July, the PGCB reported combined Fiscal Year 2021/2022 revenue figures, which runs from July 1st to June 30th, reached a record level of $5 billion for the first time ever. The combined tax revenue from all forms of legal gambling in PA topped $2 billion for the first time.
In its recent report, the PGCB highlights some of the economic impact deriving from the state’s continued gaming expansion, which includes 14,829 people employed by PA’s casinos as of June 30, 2022.
Online gambling and land-based casinos drive overall PA gaming revenue growth
The previous high for gaming revenue and tax revenue in a fiscal year was during 2020/2021 when it reached $3.87 billion and $1.59 billion respectively.
The huge revenue increase from the previous high fiscal year can be attributed to a number of factors including record revenue for table games as well as growth in sports betting and PA online casinos.
Continued expansion in the land-based gambling sector is another key driver.
- FY 2021/22 taxable revenue from slot machines at the casinos was $2.4 billion, a 27.7% increase in revenue when compared to the $1.9 billion generated in FY 2020/21.
- FY 2021/22 taxable revenue from table games at the casinos reached a record high $1 billion, a 40.7% increase in revenue when compared to the $722 million generated in Fiscal Year 2020/21.
New PA casinos create jobs, economic impact
PA is now home to 16 land-based casinos. Here are the recent additions, including Hollywood York and Morgantown which opened during FY 2021/22:
- Live! Casino Pittsburgh (Category 4): Opened Nov. 24, 2020
- Live! Casino Philadelphia: Opened Feb. 11, 2021
- Hollywood Casino York (Category 4): Opened Aug. 12, 2021
- Hollywood Casino Morgantown (Category 4): Opened Dec. 22, 2021
Parx Shippensburg Casino is preparing for an early 2023 opening, and one more mini-casino in Centre County is awaiting approval.
In addition to jobs and contractor company contracts generated during construction, the newly opened casinos:
- Create permanent jobs
- Make charitable contributions
- Promote economic development through contracts with vendors and gaming service providers
PA casino employees on the rise
Retail casino employment increased 6.9% YoY with an additional 959 people employed as of June 30, 2022 compared to the same date in 2021.
According to the 15th annual Diversity Report, of the total 14,829 individuals employed by the state’s licensed casinos/resorts:
- 89% residents of PA
- Approximately 43% female
- 40% racial minorities
- Table Games employees totaled 4,703 (3,907 were PA residents)
The Executive/Management/Professional Staff at the casinos increased 7.8% YoY (172 additional employees). Of the 2,370 individuals employed in these roles as of June 30, 2022:
- 36% were female
- 26% were racial minorities
Employment and economic impact of new PA casinos
Here’s a look at the economic contributions for the Commonwealth’s newest land-based casino properties during FY 2021/22, according to the PGCB’s Annual Diversity Report.
Live! Casino Pittsburgh (opened on Nov. 24, 2020):
- Gaming service providers totaled $13 million.
- Charitable contributions were $92,236.
- Employed 586 (577 or 98% Pennsylvania residents); 136 table games employees (all PA residents).
- Executive/Management/Professional staff of 73 (male 70%, female 30%, minorities 14%).
- 481 positions were offered and 281 were hired.
Live! Philadelphia (opened on Feb. 11, 2021):
- Gaming service providers totaled $48 million.
- Charitable contributions were $134,901.
- Employed 1,240 (884 or 71% PA residents); 417 table games employees (238 PA residents).
- Executive/Management/Professional staff of 126 (male 64%, female 36%, minorities 32%).
- 736 positions were hired out of 1,015 positions offered.
Hollywood Casino York (opened on Aug. 12, 2021):
- Gaming service providers totaled $4 million.
- Charitable contributions were $204,374.
- Employed 310 (301 or 97% Pennsylvania residents); 113 table games employees (105 PA residents).
- Executive/Management/Professional staff of 67 (male 61%, female 39%, minorities 31%).
- 377 positions were hired out of 445 positions offered.
Hollywood Casino Morgantown (opened on Dec. 22, 2021):
- Gaming service providers totaled $3.2 million.
- Charitable contributions were $132,390.
- Employed 308 (300 or 97% PA residents); 92 table games employees (86 PA residents).
- Executive/Management/Professional staff of 67 (male 76%, female 24%, minorities 31%).
- 391 positions were hired out of 621 positions offered.
Parx Casino Shippensburg
The next PA casino to open its doors will be Parx Casino in Shippensburg, PA. The PGCB expects the new casino to create 125 permanent jobs. Economic impact of construction in FY 2021/22:
- Contract values totaled $11,044,201 ($302,590 to Minority Business Enterprises and Woman Business Enterprises; $2,613,070 to Local Business Enterprises).
- $102,500 in community outreach and donations to charitable causes.
The economic impacts of the PA gaming industry are expected to continue expanding along with gambling options in the state.
Source: Play Pennsylvania