Wynn Las Vegas executives have long suspected Fontainebleau of attempting to replicate their renowned hotel and casino experience, even going as far as poaching some of their top employees. Now, Wynn has taken legal action to put an end to it, according to a Las Vegas Review-Journal report.
The saga began in mid-2022, about a year and a half before Fontainebleau’s debut on the Strip, as the Fontainebleau executive team was being assembled. Wynn officials alleged that Fontainebleau actively solicited Wynn executive employees, despite their existing contracts and non-competition agreements.
Despite discussions between executives from both resorts, during which Fontainebleau agreed to cease such actions, the problem persisted. This led Wynn to file a lawsuit in Clark County District Court last week, accusing Fontainebleau of interfering with current and potential contractual relations.
The lawsuit targets Fontainebleau Las Vegas II LLC, Fontainebleau Development LLC, Bowtie Development LLC, operating as Fontainebleau Las Vegas, along with 10 unnamed individuals. Wynn’s lawsuit seeks an injunction to prevent further employee poaching and damages exceeding $15,000.
Wynn emphasized its desire for all Las Vegas operators to thrive without infringing upon the negotiated agreements with its employees.
“Clearly, we want all operators in Las Vegas to be successful; it’s good for the city in which we all live,” the company said in a statement, according to the Review-Journal. “We just want that to happen without interference in the contractual agreements our employees have negotiated with us.”
Fontainebleau declined to comment on the ongoing litigation when approached by the paper.
Numerous instances
The lawsuit details instances where Fontainebleau allegedly attempted to entice Wynn employees to join its team, including contacting David Snyder, a key member of Wynn’s leadership, prompting his departure in July 2022.
Wynn asserts that Fontainebleau persisted in its efforts, targeting positions ranging from chefs to nightlife executives.
The most recent incident, according to the report, involved Fontainebleau’s senior vice president of nightlife contacting Wayne Crane, Wynn’s senior executive director of nightlife, urging him to leave. Crane ultimately decided to stay with Wynn after being offered a raise.
A spokesperson for Wynn acknowledged occasional challenges with employee poaching, especially when new resorts open, but emphasized the company’s commitment to resolving such issues through negotiation – or legal action – to protect its rights.
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