Des Moines, Iowa — The policy on hourly pay for workers at state-licensed casinos may soon change. Under current law, casino workers paid by the hour must earn at least 125 percent of the federal minimum wage. That’s nine-dollars-and-06 cents an hour today.
A provision in a bill that cleared the legislature last Wednesday night makes that nine-dollar rate permanent December 31st, even if the federal minimum wage is raised. Representative Chris Hall, a Democrat, is from Sioux City where the Hard Rock Casino is a major employer.
Hall, who was the only legislator to address the issue during debate, says casino employees face unique workplace challenges.
A spokesman for the Iowa Gaming Association says starting hourly pay for casino workers is usually above nine dollars, but if the federal minimum wage increases to 15 dollars, the hourly wage floor for casino workers would go to at least 18-dollars-and-75 cents an hour — and that would be a significant issue for the casinos.
Another provision in the big tax bill that passed the legislature earlier this week erases state taxes on what’s called promotional play. Casinos offer potential customers one-hundred dollars or so in credit to bet, as a promotion, and under current law if the customer uses the casino’s credit, it’s taxed as if it’s casino revenue.
