Mandalay Reaches Out to Minority Businesses

LAS VEGAS -- Mandalay Resort Group is working with three local ethnic chambers of commerce to diversify the gaming company's employment, purchasing and contracting, an executive said Wednesday.

Mandalay has given $125,000 to the Urban Chamber, Latin Chamber and Asian Chamber as part of an ongoing emphasis to improve diversity throughout the company, said Tony Alamo, senior vice president of operations for Mandalay.

"This new program takes our commitment to the next level by helping to expand and support the fine efforts of the local chambers of commerce," he said.

Mandalay representatives will conduct workshops from 9 a.m. to 4 p.m. on June 2, 9 and 16 in the hotel's convention center, outlining the purchasing process for each chamber's membership.

MGM Mirage held a similar workshop in 2000 after MGM Grand came under fire from the NAACP for the low number of contracts given to minority-owned businesses.

Linda Goodman, owner of Las Vegas-based Corin's Kids, designer and manufacturer of girls' clothing, said she was "a little naive" when she took out a $40,000 loan to increase production after MGM Mirage ordered a large quantity of clothes for the Bellagio gift shop.

"They made me believe that I was going to get a nice order," Goodman said in 2002. "Maybe I shouldn't have been so unrealistic about it."

A slump in the economy prompted MGM Mirage to cancel further orders, a retail buyer for the company said.

But Louis Overstreet, executive director of the 325-member Urban Chamber of Commerce, said the gaming industry is making a valid attempt to improve its employee profile.

"In all honesty, I have seen more employment opportunity for people of color in supervisory positions," Overstreet said.

Still, he advised minority business owners to get "more than a handshake" from hotel purchasing reps before they decide to expand production.

Overstreet said he was impressed with Mandalay's efforts, which include scholarships for 30 college-bound students in gaming and hospitality fields and internships for students from each chamber.

"Often with these kinds of programs, there's no anticipation that the kids may actually come to work for the company," he said.

However, the program allows Mandalay's management to assess a student's potential for long-term employment, Overstreet said.

Winston Henderson, an architect in Las Vegas for 12 years, is designing renovations for VIP suites at MGM Grand and did some work last year at Bellagio.

"They are in the beginning stages of starting to make a difference," Henderson said of the gaming industry's diversity efforts. "Certainly, there are some challenges, but there's also an increasing sense of awareness."