UNCASVILLE, Conn. (AP) -- The Mohegan Sun casino is cutting the pay of all 9,800 employees to reduce costs in a deteriorating economy, but plans to avoid layoffs.
The Mohegan Tribal Gaming Authority announced Sunday that it will cut pay for vice presidents and senior management by 10 percent, middle managers' pay by 7.5 percent and the pay for nonmanagement salaried and hourly employees by 4 percent.
The cuts will be take effect Feb. 1.
The gaming authority also said it will suspend future annual and merit pay raises and halt its matching payments to 401K retirement plans.
The casino complex also is reducing operating hours in some outlets and taking other unspecified actions to improve efficiency.
``Due to unprecedented market conditions, the authority has been forced to make a number of difficult, but necessary, decisions to reduce our operating costs,'' said Mitchell Etess, president and CEO of Mohegan Sun.
The Mohegan Sun reported revenue for its fiscal year ended Sept. 30 of about $1.36 billion, down 4.7 percent from 2007.
Mohegan Sun has cut more than 500 jobs through attrition over the past year and delayed an expansion project. The competing Foxwoods Resort Casino has laid off 800 casino workers since last summer.
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