UNITE HERE Urges Ban on Prediction Market Gambling

UNITE HERE, which represents more than 100,000 employees in commercial and Tribal casinos, has raised concerns about the rapid expansion of prediction markets offering sports and casino-style bets. Gwen Mills, president of the union, stated, “Prediction markets are putting good, union jobs in the gaming industry at risk. Over 100,000 UNITE HERE members work in Tribal and commercial casinos. Their livelihoods are now threatened by prediction markets conducting illegal sports betting in violation of Tribal sovereignty and state laws across the country.”

Mills highlighted that regulated gaming operations have created well-paying jobs with extensive benefits for employees and their communities. Union members include housekeepers, servers, bartenders, cooks, and dishwashers. According to Mills, “Good casino jobs allow our members to buy their first homes, send their kids to college, and quit second jobs to spend more time with their families. We will not allow prediction markets to attack our jobs and turn back our progress.” The union argues that the lawful, Tribal and state-regulated gaming sectors have invested in creating employment that supports not only individual workers but also surrounding local businesses through economic development projects.

Legislative and Regulatory Concerns

UNITE HERE’s call comes as Congress considers legislation that affects decentralized finance platforms. The CLARITY Act, previously called the Digital Asset Market Clarity Act, is aimed at strengthening U.S. cryptocurrency regulation but does not include provisions specifically addressing prediction markets offering sports derivatives. Critics warn that if the legislation becomes law, it could reduce legal ambiguity for platforms like Polymarket, potentially allowing expanded adoption of sports and casino-style contracts by institutional investors.

The American Gaming Association (AGA) has voiced similar concerns. AGA President Bill Miller testified before a Senate subcommittee, emphasizing that prediction markets such as Kalshi and Polymarket may bypass state and Tribal regulations, potentially threatening consumer protections and Tribal sovereignty. Traditional sports betting in the U.S. is heavily regulated at the state level. In states like Florida, Native American tribes hold exclusive gaming compacts with the state to establish sports betting guidelines. Prediction markets, however, contend they are federally regulated by the Commodities Futures Trading Commission and therefore not bound by state or Tribal protocols.

Bipartisan Support for New Legislation

To address these concerns, Senators Adam Schiff, Catherine Cortez Masto, and John Curtis introduced the Prediction Markets Are Gambling Act (S 4160). The bill aims to clarify that gambling remains under the jurisdiction of Tribal and state authorities, limiting the ability of prediction markets to offer sports or casino-style betting. Mills urged the Senate to act promptly, stating, “As the Senate considers cryptocurrency market structure legislation, this is an urgent moment to reaffirm congressional intent that gambling is governed by Tribal and state authorities.”

The legislation has garnered bipartisan support from lawmakers in states with both significant commercial and Tribal gaming sectors, as well as from states traditionally opposed to gambling. UNITE HERE maintains that passing the bill is essential to safeguard the employment, wages, and benefits of union members while preventing prediction markets from undermining the regulated gaming industry. The union views these platforms as a direct threat to the economic stability of the traditional casino workforce, which has relied on decades of collective bargaining to secure wages, health benefits, and retirement security.

By seeking congressional action, UNITE HERE hopes to ensure that prediction markets cannot bypass existing regulations and that good-paying casino jobs continue to provide financial stability and community benefits across the country.