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Argentina: Mendoza Province plans on re-structuring casino authority

A fire that wiped out a third of the Casino de Mendoza's revenue is driving a sweeping reorganization of the provincial gaming body, including voluntary retirement packages for staff.

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Key Points
A fire at the Tótem Boulevard complex in March cutted 32% of gross revenue
The bill includes voluntary retirement with compensation of up to 120% of statutory severance, plus relocation and transfer options for permanent staff

The government of Mendoza Province has submitted a bill to the provincial legislature seeking to grant the Instituto Provincial de Juegos y Casinos (IPJyC) broad authority to reorganize its structure over a one-year period. 

The goal, according to the executive branch, is to restore financial balance and guarantee the long-term sustainability of the gaming body.

The legislation follows a fire on March 11, 2026, at the Tótem Boulevard complex where the casino's eastern annex operated. The blaze destroyed the entire facility and shut down operations, translating into an estimated loss of ARS2.45bn ($1.75m) in gross revenue for the remainder of the year, equivalent to 32% of the institute's total take. 

The cost of maintaining staff bonuses through year-end is estimated at an additional ARS650m.

The bill outlines several options for permanent employees. The central mechanism is a voluntary retirement plan offering compensation of up to 120% of the amount established by existing law. Workers who accept the package would be banned from re-entering public administration for a set period, unless they refund a proportional share of the payout. 

Other alternatives include internal reassignment within the institute, voluntary transfer to other public-sector bodies, with seniority and equivalent compensation preserved, and, in cases where none of those options are taken up, termination with standard severance.

Beyond the personnel measures, the bill authorizes the Ministry of Finance and Treasury to provide the funds necessary for the institute to continue operating, and allows for budgetary adjustments to strengthen the personnel appropriation. The Institute itself would regulate the operational details of the process.

The provincial executive framed the reorganization as a response not only to the fire's aftermath but also to broader technological and operational shifts in the gaming industry, arguing that the institute must adapt to the criteria of efficiency and financial sustainability.

Good to know

Mendoza has increasingly shifted toward online gaming and private-sector operations in recent years, reducing the relative weight of state-run casino infrastructure in the province’s overall gaming model

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