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Study Warns Atlantic City Casino Economy Faces Growing Pressure

A study by the Atlantic County Economic Alliance outlines possible outcomes for the Atlantic City casino industry in the next nine years
A study by the Atlantic County Economic Alliance outlines possible outcomes for the Atlantic City casino industry in the next nine years.
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Noah Dmello Avatar
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Up to 8,005 Atlantic County jobs and $1.8 billion in annual regional economic output could be at risk by 2035 as more casino play moves online and new competitors enter nearby markets.

The Atlantic County Economic Alliance (ACEA) detailed the possible effects on the Atlantic City casino industry in a new economic assessment.

The study modeled how continued online gaming growth, three licensed New York City casinos, possible casino-hotels in North Jersey, and a future recession could impact the region.

ACEA said the estimates are planning scenarios rather than predictions of specific casino closures or layoffs.

Central scenario excludes North Jersey casinos 

The analysis uses the $2.89 billion generated by Atlantic City’s retail casinos in 2025 as the starting point for four possible scenarios.

ACEA’s central scenario accounts for an ongoing shift from casino floors to online platforms, expected competition from New York City, and a recession. It does not include new casinos in North Jersey.

Under those conditions, 5,105 Atlantic County jobs, $256.2 million in worker earnings and $1.15 billion in annual regional output could be exposed by 2035. The total covers casino employees as well as positions supported by suppliers and local consumer spending.

The stress scenario adds proposed casino-hotels at the Meadowlands and Monmouth Park. That combination raises the potential impact to 8,005 jobs, $401.8 million in earnings, and $1.8 billion in annual output connected to 44.2% of Atlantic City’s 2025 retail casino revenue.

That outcome assumes the proposed constitutional amendment advances to voters, receives approval, and leads to both properties opening by 2035. 

Online casino growth widens employment gap

Revenue from New Jersey online casinos reached $2.91 billion in 2025, surpassing Atlantic City’s retail casino total for the first time. However, casino-hotel employment fell to 21,172 in April 2026, the lowest level recorded during the nine-year period studied and below the April 2021 total of 21,484.

At the same time, the Casino Revenue Fund received a record $801.5 million in 2025, highlighting the divide between growing state gaming revenue and weakening local employment.

The study estimates that every $1 million spent at an Atlantic City casino supports 5.28 direct and supplier jobs in the county. The same amount spent through an online casino supports 3.66 jobs, or 30.6% fewer. 

The comparison shows how the two business models support different employment levels. It does not assume that every dollar generated online comes directly at the expense of Atlantic City casinos.

If jobs are lost, the effects would be concentrated in a handful of communities. Nearly 70% of Atlantic City casino-hotel employees live in Atlantic City, Pleasantville, Egg Harbor Township, Galloway Township, or Hamilton Township.

Convention business offers a partial buffer

ACEA identified conventions and meetings as the most practical local source of alternative employment for hospitality workers.

Visit Atlantic City booked 205 events in 2025, attracting more than 533,000 attendees and generating 328,067 room nights. Those events produced $362.3 million in direct economic impact, up 17.2% from 2023.

Expanding the convention market could support positions in food service, housekeeping, transportation, and guest services. However, ACEA concluded that convention growth would provide only a partial solution.

The group recommended additional investment in meetings, non-gaming attractions, and city improvements, along with continued casino-hotel reinvestment, worker retraining, and economic development outside tourism.

ACEA also urged New Jersey to delay any North Jersey casino expansion until protections are established for Atlantic City workers and the Casino Revenue Fund. The fund supports property tax relief, prescription assistance, transportation, and long-term care programs for eligible seniors and residents with disabilities across the state.

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Noah Dmello

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Noah Dmello is a journalist covering New Jersey’s online gambling market. His work breaks down regulation, operator strategy, and player access into clear, actionable insights. With a background in finance and sports writing, he focuses on accuracy, clarity, and real world impact.

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