Industry Reports

ALC Reduces Staff by 9 percent, Eyes Online Expansion

Atlantic Lottery Corporation is ready to introduce some changes to its staff members, as it revealed a nine-percent reduction in the number of employees. A total of 61 individuals were laid off this week, as the Crown corporation pointed out that the lockdown has taken its toll on the lottery gaming across Atlantic Canada.

Most of the individuals are based in New Brunswick, but there are also some hailing from Nova Scotia, Newfoundland and Labrador, as well as Prince Edward Island. The layoffs have taken over the entire region, but most of the people affected by the sweeping move were New Brunswick residents, as this is where Atlantic Lottery Corporation’s headquarters are based. The move came as a surprise for many of them.

Layoffs Announced

The Crown corporation had big plans for June 24, as this is when the massive layoff took place. Atlantic Lottery Corporation made it clear that the move is mandatory following more than three months of lockdown. Mid-March, all brick-and-mortar casino venues closed for business, as physical distancing remained the recommended practice. Online gaming remained the sole gambling opportunity.

Players were encouraged to make their way online and explore the diverse portfolio Atlantic Lottery Corporation has up for grabs. The consequence of this was a challenging situation, as the corporation put it. President and Chief Executive Officer Chris Keevill stated that the lottery leader of Atlantic Canada is facing challenges in the upcoming months and some structural changes were mandatory.

This included the layoffs of 43 individuals hailing from New Brunswick. The transformation has to take place as quickly as possible, as to ensure that the Crown corporation stays afloat during this unprecedented situation. Seven people located in Newfoundland and Labrador were laid off this week, along with seven more in Nova Scotia. Prince Edward Island saw four ALC workers laid off. Mr. Keevill took over this leading position this spring.

What’s to Come?

It could be recalled that April 1 saw his appointment come into effect, but over the past couple of months, he has not had the opportunity to make a significant move. This is his first big decision when it comes to the structure of the Crown corporation. Newfoundland and Labrador witnessed strict measures implemented back in March, as all lottery ticket purchases were prohibited. This had a noticeable impact on the revenue flow.

Video Lottery Terminals also had to stop their operation during the lockdown, as their disinfection was mandatory for the safety of players. Mr. Keevill pointed out that the past few months have seen more improvements introduced to the digital platform powered by Atlantic Lottery Corporation. The direction it will develop in is online gaming diversifying and all the benefits coming with this.

The Crown corporation wants to keep players gambling online on its platform, as many of them are drawn to the offshore and illegal gaming sites offerings with their diverse sports wagering offerings and more. This demand has prompted ALC to work more on its online presence, subsequently leading to the recent layoffs.