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Annual Digest 2018

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Annual Digest 2018 ANNUAL DIGEST 2018 MACAU INTEGRATED RESORT INDUSTRY ANNUAL DIGEST 2018 MACAU INTEGRATED RESORT INDUSTRY ABOUT THIS REPORT About the Publisher TEAM Publishing and Consultancy Ltd is a Macau-based publishing company. The Company has experience in a range of media skills including print and online journalism, copywriting, translation, corporate publishing, and television news and documentaries. About the Promoter The Association for Promotion of Corporate Social Responsibility in the Integrated Resort Industry was established in Macau as an advocate for advancing CSR best practices in the city’s integrated resort industry. The Association aims to stimulate exchange of ideas, promote networking, and contribute to advancement in CSR strategies. By doing so, the Association aims to give higher visibility to CSR excellence in Macau’s integrated resort industry and raise awareness about the positive impact that the sector can have on society. About the Producer Macau-based GGRAsia Publications focuses on printed materials and special projects. It is part of GGRAsia, a leading business-to-business media platform for the Asian casino industry. GGRAsia was launched in 2014 to provide the sector with in-depth news and information. INDEX FORWARD THINKING 6 COMMUNITY COMMITMENTS 8 PROTECTING THE ENVIRONMENT 22 ETHICAL GAMBLING 32 HELPING SMEs PROSPER 38 RESPONSIBLE EMPLOYERS 46 HIS inaugural edition of the “CSR Annual Di- same time operates in a highly-sensitive field, having gest”, produced by GGRAsia Publications – to ensure it has enough safeguards in place to curb the publishing arm of gaming industry news social woes such as gambling addiction, and to pre- provider GGRAsia – examines corporate social vent criminal activities. Tresponsibility (CSR) practices in the context of the Ma- According to official data, Macau’s gaming indus- cau gaming industry, with a special focus on progress try had more than 57,000 full-time employees as of during 2018. The document is the first of its kind, and end-2018. The overall sector – when including hotel, aims to offer a comprehensive review of the industry’s retail and entertainment operations – was responsible commitment to sustainable development. It does so by for a much higher number of jobs, making the casino analysing how resort operators, suppliers and junkets resort sector in aggregate one of the largest employ- are contributing toward the betterment of Macau. ers in the city. The expectations of different stakeholders in- In addition, direct taxes from gaming accounted volved in Macau’s casino industry, from government for almost 80 percent of the Macau government’s to employees and shareholders, are complex, chal- aggregate revenue for 2018, meaning the industry lenging and – at times – even conflicting. The indus- played, and continues to play, a significant role in en- try plays a very important economic role but at the suring the local authorities are well funded and can 6 CSR ANNUAL DIGEST 2018 FORWARD THINKING Assessing CSR practices ow is CSR “measured”? Gaming companies suring CSR, covering 17 sustainability goals. As Hin Macau have the option of reporting their of 2018, there were at least three companies in CSR practices based either on global guidelines or Macau’s casino sector that had chosen to disclose in relation to standards implemented by the Hong information in accordance with GRI standards Kong authorities. In both scenarios, the goals of and to incorporate the SDG framework into their such reporting are to urge corporations to disclose long-term CSR strategy. details regarding their impact on host communi- There are also some gaming firms that ties, and to allow businesses – and their stakehold- have chosen to publicise information on their ers – to track progress made over time. CSR practices based on Hong Kong’s reporting One reporting option is to adopt the global standards. Listed companies on Hong Kong’s framework for measuring CSR created by an in- bourse are encouraged to disclose information dependent, non-profit organisation: Global Re- by issuing annual environmental, social and porting Initiative (GRI). GRI offers guidelines aimed governance reports. In those contexts they can at a variety of stakeholders including investors, provide information on a wide range of social employees and civil society. Many Macau gaming and environmental indicators, while also out- companies are now disclosing their environmental lining measures they have taken to reduce any efforts in accordance with GRI measurements. negatives in terms of their overall impact on the The United Nations Sustainable Development community. Firms can also submit carbon foot- Goals (SDGs) initiative, aimed at creating by the print reports to the Carbon Footprint Reposi- year 2030 a sustainable framework globally for tory overseen by Hong Kong’s Environmental business and commerce, is another way of mea- Protection Department. provide quality services and infrastructure to the over- culture and history. The gaming industry has been en- all population. gaged in work in all those fields. The impact of the casino industry in Macau goes The European Commission of the European well beyond employment and the economy. A number Union, an organisation that has been at the forefront of resort operators, suppliers and junkets has in place of developing thinking on corporate social responsi- comprehensive sponsorship activities, including funding bility, says CSR should be “a concept whereby com- sports initiatives as well as social and cultural projects. In panies integrate social and environmental concerns addition, many casino-sector firms have in recent years into their business operations and into their interac- developed integrated CSR strategies, building ongoing tions with their stakeholders on a voluntary basis”. In partnerships with non-profit organisations and making that regard, CSR “should be company led” and not use of their core operational skills to address commu- an imposition of regulators. nity issues in a way that involves more than just funding As reported in this publication, the gaming industry in third-party organisations. Macau has been increasingly active and creative in terms The gaming industry also has a key role in as- of CSR initiatives, extending the coverage and stated goals sisting Macau with its public-policy aim of being a of such activities. CSR efforts are starting to move beyond “world centre of tourism and leisure”. That policy is cash donations to third-party community organisations supported by China’s central government. Ensuring and are also focusing on partnerships with local small and the city develops as a quality destination for interna- medium-sized enterprises (SMEs), environmental sustain- tional tourists includes not only boosting the quality ability and team development. The aim is to contribute to and standards of resorts developed in Macau, but also the overall well-being of of the Macau community and supporting the promotion of the city’s gastronomy, the people of the surrounding region. CSR ANNUAL DIGEST 2018 7 COMMUNITY COMMITMENTS IR operators move beyond charity donations, to active engagement COMMUNITY COMMITMENTS OMMUNITY investment’ in the context of the gaming industry refers to the op- portunity for companies to make positive MGM China volunteer contributions to community life and peo- team provided more pleC in their host jurisdictions and beyond. ‘ According to a 2018 study by the Institute for than 10,000 hours in Social and Cultural Research at the Macau University of Science and Technology (MUST), the six integrat- community service in 2018 ed resort operators in Macau donated in aggregate HKD1.56 billion (US$198.9 million) to charity organ- isations between 2011 and 2017. The report stated donations were mostly for projects related either to education, scientific research, environmental protec- beyond cash donations, important though such ac- tion or disaster relief. tions are. These two voices in the CSR debate suggest Major Macau charities regularly to have received companies should first assess positive and negative support from the gaming industry include: Caritas social effects of their operations, and then take the Macau; the Charity Fund from the Readers of Macao initiative in engaging with relevant communities. Daily News; Orbis Macau; the Peng On Tung Tele-As- In 2018 the Macau gaming industry reported it sistance programme – a scheme run by the General continued to take steps to connect with the local Union for Neighbourhood Associations and providing community via a wide range of activities; from corpo- support to elderly people living alone; Tung Sin Tong rate initiatives to supply community volunteers from Charitable Society; and the Welfare Shop Project of among the operator workforces, to promotion within the Macau Holy House of Mercy. the workplace of diversity and inclusion. Such busi- According the United Nations Global Compact nesses were also involved in promoting arts and cul- and the Global Reporting Initiative (GRI), the CSR- ture, in sponsoring sports initiatives, and taking part inspired investment in the community should extend in community- and animal welfare-related activities. The Macau Holy House of Mercy food hamper initiative for disadvantaged families has been supported by gaming-sector businesses CSR ANNUAL DIGEST 2018 9 Junkets: new claimants to corporate citizenship acau’s VIP gaming promoters – also known official title sponsor for the Macau Grand Prix. It Mas junkets – play an important role in
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