Media release:                                                                         4 October, 2003

Casino blames smoke bans 
for smoky room loss

Scare campaign continues to frustrate healthy workplace laws

 

Perth’s Burswood Casino continues to try to blame revenue loss on smoke bans – though the latest drop was almost entirely restricted to a still-smoky gaming room.

The SmokeFree ’03 coalition has criticised the Burswood Ltd Annual Report 2003* for wrongly implying that no-smoking policies did significant harm to the casino’s revenues.

Says SmokeFree ’03 spokesperson and ACOSH Executive Director Stephen Hall: “A close look at the figures shows how unsustainable this assertion is. In fact, the profitability loss suffered by the company’s gaming operations was entirely due to its International Room – where smoking is still permitted.

“The fall in the International Room revenue was created by an abnormally low win percentage of 0.89% - when they would normally have expected around 1.35%.”

The decreased overall profitability of the company’s gaming operations during the year amounted to just under $40m ($292.4m down to $252.8m) – more than accounted for in the $43m ($98.3m down to $55.3m) fall in the revenue of the International Room.  Food and beverage income and domestic gaming revenue were all up for the year.

“Smokefree policies have had no discernible negative impact on the company’s gaming operations or on any other part of the resort’s revenue,” says Stephen Hall.  “It’s quite misleading of the Burswood directors to try to associate the loss with smoke bans on the main gaming floor.

“The tobacco industry has carried out a long-time scare campaign about the supposed impact of smoke bans - not just in Australia but all over the world.**  They have sought without credible evidence to terrify proprietors with the fear of lost business, and employees with the fear of lost jobs.

“Holding up smoke bans as a negative factor, without justification, fuels this scare campaign and undermines the reasonable claim by casino workers for a safe, smokefree workplace – a right which the company should be supporting in line with the occupational health and safety principles the company claims to uphold.” ***

* Annual report at http://www.burswood.com.au/investor/annualreport/2003/content/burswood_concise_ar03.pdf  
(see p. 2,  p. 5)         ** see  http://www.ashaust.org.au/SF’03/economics.htm      *** see report, p. 17, p.23

Comment:             Stephen Hall, ACOSH             ph. 0408-426-263     

Media info:            Stafford Sanders                   ph. (02) 9334-1823     

SmokeFree '03 coalition:
Liquor, Hospitality and Miscellaneous Workers' Union; Musicians' Union of Australia;
Media, Entertainment and Arts Alliance; Australian Council of Trade Unions;
Action on Smoking and Health Australia; The Cancer Council Australia;
National Heart Foundation of Australia; Australian Council on Smoking and Health;
Non-Smokers' Movement of Australia

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