Visitors to Sydney's Star Casino play electronic slot machines, February 15, 2016. REUTERS/Jason ReedShares decline as much as 11.4%on Wednesday announced 500 job cuts and trimmed its annual earnings forecast, sending its shares 11% lower, as regulatory restrictions and weak consumer behaviour dent the casino operator's earnings.
Star's spokesperson told Reuters the company has about 8,000 employees, putting the job cuts at around 6.25% of its workforce. About 4,500 of the total headcount is placed at its Sydney waterfront casino, the spokesperson said. Over the past two years, Australian casino operators have been plagued with regulatory scrutiny on allegations of breaches of anti-money laundering laws, with proposed casino duty hike in New South Wales also posing significant challenges.
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