Alberta may seem like the frontrunner, but Quebec is also emerging as a contender in the debate over which Canadian province will follow Ontario’s lead in implementing a regulatory model for online gaming. 

Report Reveals Ontario Gaming Model as Solution to Quebec’s Budget Woes

With Quebec facing budget challenges, the government has tasked crown corporations, such as Loto-Québec, with finding cash savings totaling $1 billion. Now, the Quebec Online Gaming Coalition has unveiled a report highlighting the economic benefits of Ontario’s regulatory model.

Chartered accounting firm Mallette conducted an economic analysis of iGaming Ontario for the fiscal year 2022-23, its inaugural year of operation. The report revealed that iGaming Ontario, in collaboration with the Alcohol and Gaming Commission of Ontario (AGCO) and the Ontario Lottery and Gaming Corporation (OLG), generated approximately $230 million in revenue for various levels of government after expenses. Specifically, iGaming Ontario contributed at least $145 million annually to the Ontario government’s coffers. Moreover, OLG’s revenue from online gaming surged by 31% during this period.

The Quebec Online Gaming Coalition, comprising prominent industry players such as Betway, Bet99, and DraftKings, sees potential in replicating Ontario’s success in Quebec. Nathalie Bergeron, spokesperson for the Coalition, emphasized the profitability of Ontario’s model and its ability to address budget deficits. She highlighted that such a regulatory framework not only generates new revenue but also facilitates the implementation of responsible gaming measures.

Quebec’s Gaming Sector Pressure Sparks Interest in Ontario’s Economic Success

The economic impact of iGaming Ontario extends beyond revenue generation. The province experienced a significant boost to its GDP, with nearly $1.6 billion added in the first year alone. Additionally, the industry created over 1,800 jobs with salaries averaging $103,000, well above the provincial average.

The Quebec government faces mounting pressure to modernize its gaming sector, especially considering the substantial revenue leakage to unregulated markets. A November 2023 report from GeoComply revealed that thousands of attempts were made in Quebec to access Ontario-regulated mobile bookmakers during the 2023 NFL season. 

Back in December, GeoComply actually partnered with the Quebec Online Gaming Coalition to safeguard the integrity of the industry and prevent fraudulent access. 

Furthermore, polling conducted for the Quebec Online Gaming Coalition indicated strong support among Quebec-based online gamblers for a licensing system to regulate private-sector operators.In light of Quebec’s fiscal challenges and the Finance Minister’s call for optimization efforts from crown corporations, the Coalition proposes a regulatory framework akin to Ontario’s. Such a model, while tailored to Quebec’s needs, could yield similar economic benefits, providing a viable solution to the province’s budget deficit.

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The leading designer, manufacturer and distributor of games, powering casinos across the globe, Aristocrat Gaming, announced a new collaboration, allowing it to grow its global footprint. This week, the company confirmed it expanded its presence in North America by securing entry into the video lottery terminal (VLT) gaming market in Québec, Canada. This milestone achievement was completed via a partnership with Loto-Québec, Quebec’s provincial lotto and iGaming operator.

Stéphane Fraser, Loto-Québec’s executive vice president and chief operating officer of gaming establishments, praised the new collaboration with Aristocrat Gaming. Sharing her excitement, she pointed out: “Loto-Québec is pleased to announce its partnership with Aristocrat.”

On the other hand, Kurt Gissane, Aristocrat’s chief revenue officer, spoke about the importance of the company’s entry into the VLT market in Québec. He explained that this achievement represents an important milestone for the company and reaffirms its dedication to expanding the reach of its quality products.

Gissane revealed that Aristocrat is thrilled to expand its footprint in the province and reach new customers in the process. Finally, he said that the company anticipates a long-term and successful partnership with Loto-Québec.

“Gaining entry into the Québec VLT market is another major milestone for the company, demonstrating our vested interest in these emerging segments, and allowing us to bring our award-winning products to new markets and their players.“

Kurt Gissane, chief revenue officer at Aristocrat Gaming

New Games Will Reach Players across Québec

Thanks to the new entry into the VLT gaming market in the Canadian province, Aristocrat confirmed that 10 games will be launched. The list includes hit titles such as Bao Zhu Zhao Fu Red Festival, Fu Dai Lian Lian Panda, Fire Light, Scorchin’ Fortune, Flamin’ Hits and Prosperity of the Nile, among other quality games. According to Aristocrat, the games will be displayed via MidKnight X, the company’s new upright cabinet.

Elsewhere, earlier this month, Aristocrat confirmed the launch of NFL Super Bowl Link, its latest NFL-themed slot game. At the time, the supplier confirmed that the new class 3 game will be using its famous MarsX Portrait cabinet. The launch came just in time for the Super Bowl and promised NFL fans exciting experiences.

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In a decisive move, casino workers in Montreal, Mont-Tremblant, Charlevoix, and Gatineau have voted in favor of an unlimited general strike, set to commence on June 23. 

Casino Workers Demand Fair Wages as Negotiations Stall

Riccardo Scopelleti, president of the Casino de Montréal-CSN security workers’ unit, announced that the negotiations with the employer had reached an impasse, as reported by the Montreal Gazette. The workers are demanding wage increases that reflect the rising cost of living, along with an additional CAD1 ($0.76) per hour. They argue that Loto-Québec, along with the Société des casinos, is generating significant profits, and therefore, the employees deserve their fair share.

The union has expressed its frustration with Loto-Québec management, particularly regarding the distribution of bonuses. According to the union, management has allocated $650,000 in bonuses this year, which they find to be insulting while denying workers the raises they deserve to keep pace with inflation.

However, Loto-Québec has expressed confusion over the union’s decision to initiate an indefinite strike. The company claims that all the necessary elements for reaching an agreement are already in place. They maintain that they offer favorable working conditions, with casino wages exceeding those of the reference market by approximately 20% for most job categories. Loto-Québec also highlights that the union’s current demands far exceed what other employees in the organization have received in the past year.

Strike Impacts 1,700 Casino Employees in Quebec as Loto-Québec Announces Limited Services

The strike will impact around 1,700 employees, leading to modified schedules and limited services at the Montreal, Charlevoix, and Mont-Tremblant casinos. The Casino du Lac-Leamy, Trois-Rivières gaming hall, and Quebec City gaming hall, however, will remain open as usual, as stated by Loto-Québec in a recent announcement. The strike will not affect the croupiers at the Montreal, Charlevoix, and Lac-Leamy casinos, and the lotoquebec.com website will remain accessible. However, the call center will not be operational during the strike.

Stéphanie Gratton, interim president of the Fédération des employées et employés du secteur public-CSN, dismissed Loto-Québec’s claims about good working conditions and competitive wages. She said she believes that the union’s demands are justified and necessary for the well-being of the workers.

Loto-Québec hopes to resume discussions with the union and the conciliator in order to reach a fair settlement that respects the responsible management of public funds. 

Just last year Loto-Québec was in trouble with the Canadian Union of Public Employees (CUPE) representing casino dealers at Casino de Montréal. Following three months of strike action, CUPE reached a satisfactory labor agreement in principle with Loto-Québec, addressing concerns over working conditions and wages.

At the same time, Loto-Québec reported its best financial performance since the implementation of the Tobacco Control Act, with revenue of CAD2.225 billion ($1.61 billion) and net income of CAD1.204 billion ($872 million) for the third quarter of fiscal year 2022-2023, marking a significant increase and allowing for higher dividends to the government and benefits for Quebec residents.

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