Nevada gaming authorities continue discussion over sexual harassment regulations

September 22, 2018 4:35 PM
  • Howard Stutz, CDC Gaming Reports
September 22, 2018 4:35 PM
  • Howard Stutz, CDC Gaming Reports

One Nevada casino company believes a move by gaming authorities to draft policies regarding sexual harassment awareness and prevention into state gaming regulations isn’t needed.

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Attorney Barry Lieberman, representing Gaughan South, the parent company of the South Point Hotel-Casino in Las Vegas, said Nevada gaming establishments must comply with federal and state guidelines that are overseen by the U.S. Equal Employment Opportunity Commission and the Nevada Equal Rights Commission.

He told the Gaming Control Board at a workshop hearing in Las Vegas Friday that current regulations already give gaming authorities the ability to discipline gaming license holders on more than a dozen different matters or situations.

The additions to Regulation 5, which covers the operations of gaming establishments, would go beyond the “traditional scope” of gaming regulation.

“The sections (in Regulation 5) provides regulators with authority to discipline a licensee on sexual harassment matters,” Lieberman said.

The workshop had just a handful of speakers, despite the much-heated discussions surrounding sexual harassment in the workplace. Control Board Chairwoman Becky Harris said after the meeting that a second workshop is being planned in Carson City in November. The board will then present the proposed changes to the Nevada Gaming Commission.

Control Board member Terry Johnson agreed that gaming license holders must comply with all local, state and federal laws. He said an understanding needs to be reached on the current laws, which might be “inadequate.” He said the definition of a licensed gaming establishment might be missing.

Gaming regulators began looking at Nevada’s regulations covering sexual harassment soon after Wynn Resorts founder Steve Wynn stepped down from the company as chairman and CEO and sold his stock holdings in February after the Wall Street Journal uncovered multiple allegations of sexual harassment. Wynn denied the charges. Meanwhile, the company, along Nevada and Massachusetts gaming authorities, opened investigations.

Soon after the Wynn matter surfaced, Harris – who was appointed chairwoman by Gov. Brian Sandoval in January – said the state would draft regulations covering sexual harassment. She said Friday other states gaming boards were watching Nevada.

“I think this is an important issue in our time,” Harris said. “I think the regulations are very vague. This is an attempt to highlight that sexual harassment prevention and awareness are important, but the board wants some parameters and minimum standards about what these policies should look like.”

Two weeks ago, the control board released a “minimum standards checklist” that must be completed annually by all Nevada gaming license holders to ensure “a work environment that is safe for all employees, one in which diversity, inclusion and the dignity of each employee is respected and free from any form of discrimination or harassment.”

Harris said the changes in the regulations were needed. She added that the board has received input from community advocates, unions, employees, and employers. She has also heard from victims.

“The fact that we have a lot of federal legislation and state laws, this is still an issue of concern for many,” Harris said. “Perhaps those methods may not be as effective as we would like those methods to be.”

Nevada Resort Association President Virginia Valentine offered some suggestions on language in the proposed checklist, as well as the proposed regulation.

Stacie Michaels, an attorney for Wynn Resorts, said the company wanted to express its support for the gaming regulators undertaking the effort.

Howard Stutz is the executive editor of CDC Gaming Reports. He can be reached at hstutz@cdcgamingreports.comFollow @howardstutz on Twitter.