Key Moments:
- Republic Amusements announced 81 layoffs after a legislative failure kept skill games banned in Pennsylvania
- The Pennsylvania Supreme Court ruling in June classified skill games as illegal gambling machines, triggering removal of an estimated 70,000 devices
- Businesses had generated significant income from skill games, with one operator reporting over $50,000 in 2026 through September
Impact of Skill Game Ban on Employment
A recent ruling from the Pennsylvania Supreme Court has led to significant job losses at Republic Amusements, a company based in Camp Hill. The inability of the state legislature to enact skill game legislation has forced the company to lay off 81 employees. The changes came after the court deemed skill games illegal gambling devices, requiring an estimated 70,000 machines to be pulled from businesses statewide.
Challenges for Operators and Small Businesses
Republic Amusements, which also owns Capital Vending, Apple Vending, and Entertainment Experts, issued a Worker Adjustment and Retraining Notification Act (WARN) notice detailing the impending layoffs. COO Joe Calla assigned responsibility for these losses to the state’s lawmakers in Harrisburg:
“My family started this business nearly 64 years ago, and it’s incredibly frustrating to work this hard—to build something that supports great employees and real opportunities for small businesses—only to have our elected officials refuse to take action,” said Calla.
Despite demonstrated bipartisan and gubernatorial support for legalizing and regulating skill games, legislative debates over tax rates have stalled progress on new laws. As Calla stated,
“All this talk of ‘tax parity’ from some legislators, and specifically from Governor Shapiro, makes clear they have no real intention of doing right by small business,” Calla said.
“Regardless of how much the casinos have spent lobbying against Pennsylvania small businesses, American Legions, VFWs, and volunteer fire companies, it’s time for the Pennsylvania legislature to stand up and do the right thing—to put reasonable regulation around skill games and set reasonable taxes and fees,” Calla continued.
Economic Impact for Retailers
A grocery store business with three Pennsylvania locations, speaking anonymously, shared with Casino.org that skill games produced over $50,000 for the company in 2026 through September. Each store contained three machines. According to the owner, about 30% of gross revenue from each game stayed with the stores, while 70% was allocated to manufacturers and distributors, including Republic Amusements.
| Business Type | Number of Locations | Skill Game Revenue (2026 through September) | Share Kept by Store | Share to Distributors/Manufacturers |
|---|---|---|---|---|
| Grocery Store | 3 | $50,000+ | 30% | 70% |
Compliance Efforts in Response to Ban
The Pennsylvania State Police have cautioned businesses that keeping skill games on-site risks potential raids and criminal prosecution. The agency has established agreements with six skill game operators and distributors, giving them more time to gradually remove devices from various locations. Under state law, it constitutes a criminal offense to maintain, assemble, make, sell, or lease slot machines unless authorized by the Pennsylvania Gaming Control Board.
- Author
Daniel Williams
