Montevideo Approves Voluntary Severance Plan for Casino Parque Hotel
Uruguay.- 30 October 2026 | www.zonadeazar.com The Montevideo Departmental Board has approved a special voluntary severance scheme for employees of Casino Parque Hotel, following the transfer of the property’s management to Uruguay’s General Directorate of Casinos under the Ministry of Economy and Finance.
Officially announced on 22 October 2026, the measure establishes financial compensation for permanent municipal employees who agree to leave the Montevideo administration.
The programme provides compensation equivalent to 20 or 22 nominal salary payments, depending on the employee’s age, and forms part of the historic casino’s administrative and financial restructuring.
Casino Parque Hotel Transfers to National Administration
Casino Parque Hotel has ceased operating under the management of the Montevideo municipal government and has been transferred to the General Directorate of Casinos.
The transfer took effect in early September 2026 following negotiations between municipal and national authorities.
The administrative change aims to reorganise the property’s operations and reduce the financial losses previously incurred by the departmental government.
As part of this transition, the Montevideo administration must address the employment situation of staff formerly assigned to the casino.
Compensation Equivalent to Up to 22 Salary Payments
The approved scheme establishes two compensation levels based on employee age.
The principal conditions are:
- Employees aged 59 or younger: compensation equivalent to 22 nominal salary payments.
- Employees aged 60 or older: compensation equivalent to 20 nominal salary payments.
- Payment method: two equal instalments.
- Eligibility: permanent Casino Parque Hotel employees, regardless of their employment grade.
The calculation will take several components of each employee’s remuneration into account.
However, annual bonus payments, holiday pay and annual attendance and performance compensation will be excluded.
Retirement Eligibility Is Not Required
One of the programme’s main features is that employees may qualify even if they have not yet met the conditions for retirement.
The measure aims to provide alternative arrangements for staff affected by the transfer of management.
For employees who do not yet qualify for retirement, the municipality may defer the effective date of resignation until 31 December 2028.
This provision allows the scheme to accommodate different employment circumstances and age groups within the casino workforce.
Resignation and Payment Deadlines
The regulations establish a specific timetable for employees submitting an irrevocable resignation before 31 October 2026.
In these cases, compensation will be paid as follows:
- First instalment: 30 November 2026.
- Second instalment: 28 February 2027.
For applications submitted after the deadline, the first payment will be made on the last working day of the month following the administration’s acceptance of the resignation.
The two-instalment structure is intended to organise compensation payments within the municipality’s financial planning.
Irrevocable Resignation and Re-employment Restrictions
To qualify, employees must submit an irrevocable resignation from all paid positions and functions held within the departmental government.
The resignation is subject to express acceptance by the municipal administration.
Employees receiving compensation will not be permitted to rejoin the departmental government under any form of employment or contractual arrangement.
The scheme expressly excludes political appointees and employees holding positions of particular trust.
These conditions establish a definitive employment separation mechanism.
Montevideo Expects to Allocate US$3 Million
According to estimates released during the transfer process, the Montevideo municipal government expects to allocate approximately US$3 million to the voluntary severance programme.
Initial plans involved the departure of 35 of the casino’s 44 employees.
This represents approximately 80% of the workforce.
The remaining nine employees were expected to retain their municipal employment, potentially through reassignment to other departments.
The final cost will depend on individual employee circumstances and the resignations formally accepted.
Municipality Aims to Reduce Operating Deficit
The transfer of Casino Parque Hotel forms part of a strategy to reduce the financial losses associated with its municipal operations.
In 2024, the casino recorded a negative result of approximately 83 million Uruguayan pesos.
Montevideo Mayor Mario Bergara has identified the gradual elimination of the associated operating deficit by the end of 2027 as a key objective.
Transferring management to the national government and restructuring the workforce are central components of that strategy.
Although the severance programme requires an initial financial commitment, it is intended to reduce future staffing and operating obligations.
General Directorate of Casinos Expands Its Operations
The incorporation of Casino Parque Hotel strengthens the General Directorate of Casinos’ presence in Montevideo.
The addition expands the national authority’s network of gaming venues across Uruguay.
During the transfer negotiations, the authorities also discussed arrangements concerning the use of the property and its casino equipment.
One of the amounts mentioned was US$650,000 for furniture and slot machines.
However, differences emerged between the commercial terms initially announced and the administrative documents subsequently published.
These matters form part of the property’s wider transition to national management.
Industry Impact and Next Steps
The approval of the voluntary severance scheme represents another step in Casino Parque Hotel’s administrative transition.
The programme establishes compensation conditions, payment deadlines and a framework for reducing the municipal workforce previously assigned to the property.
Meanwhile, the transfer to national management aims to improve the casino’s financial sustainability.
With compensation of up to 22 nominal salary payments and an estimated US$3 million allocation, Montevideo is progressing with the workforce restructuring of Casino Parque Hotel following its transfer to national administration.
The next steps involve formalising resignations and implementing the payment timetable scheduled for November 2026 and February 2027.
Edited by: @fonta
