The union's executive board today voted to accept offer from N.Y. developer Jeffrey Gural, who wants to lease the financially troubled facility from N.J.
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Drivers warm up horses at the Meadowland Racetrack in this July 2010 photo. EAST RUTHERFORD — A deal to save the Meadowlands Racetrack could be in the homestretch after a key union’s executive board today voted to accept an offer from New York developer Jeffrey Gural, who wants to lease the financially troubled facility from the state.
The unanimous vote by the executive board of Sports Arena Employees Local 137 of AFL-CIO sets the stage for Gural to present his plan to Gov. Chris Christie, who had threatened to end live and simulcast harness racing by May 12 without a union agreement.
Christie spokesman Michael Drewniak today said he would limit reaction until the administration learned more about the vote, but noted: "It sounds like a very positive development."
Today’s vote overrules a decision by the full union membership to refuse to consider Gural’s proposal nearly two weeks ago. The union, with 250 members representing tellers, cleaners, box office workers, window washers and money-room employees, had said it would not consider Gural’s proposal because it called for a 20-percent pay cut and eliminated seniority from assigning shifts to tellers.
Union business manager Robert Liguori said today’s agreement preserves the union’s 250 jobs at the race track and about 22,000 jobs supported by the standardbred horse racing industry in New Jersey. It would retain the 20-percent salary reduction but reinstate the seniority provision, he said.
Raymond Pocino, vice president and regional manager of Laborers International Union of North America’s eastern region, said the decision came down to economics.
"In these times of great economic hardship and global economic recession, we need to be cognizant of the realities in front of us," he said. "Due to this economic climate, the status of horse racing in New Jersey and the ability of the new operator as a private entity to make the track profitable, we believe we need to work with our new private owner to begin a partnership on the future of horse racing at the Meadowlands Racetrack."
Gural did not respond to requests for comment tonight.
But Thomas Luchento, president of the Standardbred Breeders & Owners Association of New Jersey, which partnered with Gural to develop a plan, said he hopes today’s vote will mean the Meadowlands Racetrack will have its scheduled May 7 opening day for live racing.
"It’s great for the sport," Luchento said. "It helps put us one step closer to opening May 7. The tellers may not understand now, but they really got a good deal."
Christie last fall said he planned to close the 35-year-old race track, which has received $30 million in subsidies from Atlantic City casinos, because it was projected to continue to lose $10 million this season. In December, he tapped Gural to come up with a proposal before the May 7 season opening.
Liguori said after the union refused to vote on the plan, its executive board decided to take up the issue on its own. He said the union’s negotiating team boycotted discussions with Gural’s team after the non-vote.
"It did go to the full membership for a vote and they chose not to act on it," Liguori said. "It’s not like we by-passed them."
The deal calls for any potential future layoffs to be made through seniority — rather than by a worker’s experience or ability, as was proposed in the original contract, Liguori said. Union members would have their 39 paid sick and vacation days reduced to 20, he said. New terms would also give union members the option to work at any off-track wagering facilities that may be built by Gural. The union can also reopen the contract to negotiate for a share in monetary benefits if slot machines eventually are permitted at the race track.