By Kathryn Reed

Caesars Entertainment will be outsourcing its housekeeping departments at its Lake Tahoe and Reno properties starting Feb. 1.

The Service Companies will take over the operation, having already done so at other properties owned by the world’s largest gaming company and having plans to do so at others later this year.

The same people will be cleaning rooms at Harveys; they just won't be Harveys' employees. Photo/LTN file

A handful of housekeeping employees contacted by Lake Tahoe News on Jan. 25 were not aware of the changes, even though it was announced to staff last week.

The nearly 200 housekeeping employees at Harrah’s Lake Tahoe and Harveys and 84 in Reno all have been offered jobs with The Services Company, a Florida-based firm that specializes in all things cleaning.

John Packer, spokesman for the Northern Nevada properties, said 40 employees would be getting a raise because TSC has a higher minimum wage than the casino company.

He said the head of housekeeping has signed on with TSC, as have many of the team leaders, so the rank and file will likely have the same boss.

TSC did not return a phone call. It’s not known if benefits are better or worse, or if employees will get the same number of hours they are used to.

Caesars Entertainment and TSC have a long relationship. About 10 years ago they began doing the cleaning at the Stateline properties. TSC also has contracts with MGM, Ritz Carlton and Hyatt properties.

Packer said hotel guests should not notice any changes.

“It’s extremely important to us that guests still have a great experience,” Packer said. He said of the 40-plus properties Caesars Entertainment owns, Harveys, Harrah’s Lake Tahoe and Laughlin consistently receive the top marks for guest services. He expects to keep that ranking when the new housekeeping company takes over.

Gary Thompson, spokesman for the Las Vegas-based company, would not say if more employment changes are in the works within other departments. Nor would he say exactly how many have been laid off in the last few years.

“Over the course of the past 3½ years we have reduced our overall employment across the company,” Thompson told Lake Tahoe News.

In 2008, private equity firms Apollo Management Group and Texas Pacific Group bought Caesars Entertainment for $30.7 billion. An IPO was planned for December 2010, but company executives stopped that from going forward because of market conditions.

An IPO is expected sometime this year.