PAGCOR Transition Puts Thousands of Casino Jobs at Risk, Report Says

The Philippine Amusement and Gaming Corporation (PAGCOR) is moving forward with its plan to exit casino operations, a shift that could put 8,000 to 10,000 jobs in jeopardy, according to the PAGCOR Employees’ Association (PAGCEA).

The restructuring, described as “decoupling,” would see PAGCOR abandon its operator role while retaining its regulatory and licensing authority. PAGCOR management says the move is in line with global standards, noting that regulators should not also act as competitors. The Governance Commission for Government-Owned and Controlled Corporations (GCG) is currently reviewing the proposal.

Union Pushback and Legal Questions

PAGCEA has voiced strong opposition, arguing that the plan threatens livelihoods and may not be constitutional. PAGCEA legal adviser Remus Reyes told local media that only Congress has the authority to amend PAGCOR’s mandate. He also warned that a rushed sale of Casino Filipino assets could result in undervaluation.

Reyes further accused management of deliberately weakening casinos by cutting player incentives, reducing table games, and eliminating customer perks—moves he claims discouraged patrons and depressed revenues, paving the way for asset sell-offs.

Digital Gaming Now Dominates Revenue

The planned exit comes as iGaming overtakes brick-and-mortar casinos in the Philippines. In the first half of 2025, PAGCOR reported that online platforms generated 53% of its total revenue, compared to 43% from licensed casinos and just 3% from its own properties.

Analysts say this shift has redirected PAGCOR’s priorities. However, critics caution that regulating online platforms is far more complex than managing physical venues due to 24/7 operations and digital payment systems.

To address these risks, PAGCOR has implemented new safeguards, including advertising restrictions, bans on credit card and cryptocurrency wagers, and cooperation with cybercrime agencies to combat illegal sites.

Industry Revenues Up Despite Tensions

Despite the labor disputes, the industry is growing. PAGCOR posted more than $3.8 billion in gross gaming revenue (GGR) for H1 2025, putting it on track to hit $7 billion for the year. Online betting remains the primary driver of this growth.