Ninth Circuit Rejects Wilton Rancheria Appeal, Orders Sky River Casino to Honor Union Agreement
The case stems from the 2017 State of California gaming compact with the Wilton Rancheria, the operator of the casino
A federal appeals court has rejected an attempt by Wilton Rancheria to overturn a lower court ruling requiring its Sky River Casino to comply with a labor agreement and engage with a union seeking to represent casino workers.
In a decision issued April 8, a three-judge panel of the U.S. Court of Appeals for the Ninth Circuit in San Francisco unanimously affirmed a district court ruling that upheld an arbitration award in favor of UNITE HERE. The ruling requires the tribe to cooperate with the union’s efforts to organize employees under a previously negotiated agreement.
The case stems from a 2017 memorandum of agreement between Wilton Rancheria and its management partner, Boyd Gaming, which outlined procedures for union recognition if a majority of workers signed authorization cards.
According to the court, the central dispute was whether the tribe was obligated to follow that agreement’s process for union recognition or could instead rely exclusively on procedures outlined in its Tribal Labor Relations Ordinance. The arbitrator determined the agreement’s process remained valid, and the Ninth Circuit found no basis to overturn that conclusion.
Under the highly deferential standard required by the Federal Arbitration Act, the appellate panel said the arbitrator’s decision was neither “completely irrational” nor in “manifest disregard of the law.” The court emphasized that even potential misinterpretations of law do not justify vacating an arbitration award.
“The district court properly denied the Tribe’s motion to vacate,” the panel wrote, concluding that the arbitrator acted within the authority granted by both parties and reasonably interpreted the agreement.
The ruling affirms earlier decisions by two arbitrators and a federal district judge, all of whom found that Sky River Casino must honor the agreement and allow the union recognition process to proceed.
Union officials say workers demonstrated majority support for representation in 2023, but the casino declined to recognize the union, prompting litigation that has stretched nearly three years.
“The 9th Circuit court has ruled. It’s time for Sky River to do the right thing and bargain with the union,” said Aamir Deen, president of UNITE HERE Local 49, in a statement.
Casino employee Francisco Maldonado, a lead cook, welcomed the decision and called for negotiations to begin.
“We’ve told Sky River management that we want the union over and over,” Maldonado said. “Now I’m ready to bargain a contract so I get paid better than $6.96 below average.”
Union representatives and casino workers held a news conference this morning in Elk Grove demanding the casino begin contract negotiations . See video below.
“We will continue to fight to ensure that every voice is heard and respected under a fair process rooted in our Tribal laws,” Cammeron Hodson, president of the Wilton Rancheria’s gaming authority said in a statement.
The decision marks a significant step in a closely watched labor dispute involving one of Northern California’s newest tribal casinos and could shape how similar agreements are enforced in the gaming industry.
