Safeguarding human rights in a high-stakes gambling industry

Sibongile Simelane-Quntana|Published

Executive director of the South African Responsible Gambling Foundation (SARGF), Sibongile Simelane-Quntana.

Image: Supplied

During Human Rights Month, observed in March, South Africa reflects on the fundamental values of dignity, equality, and freedom that are the bedrock of our democracy. These rights are not just ideas; they must be actively protected and promoted in all areas of society, including gambling.

The gambling industry’s role and its possible impact on human rights are subjects of debate, especially in South Africa. The country’s history and socio-economic realities make this debate particularly relevant. Apartheid left deep inequalities that persist, as evidenced by South Africa’s high GINI coefficient of 63.0%, the highest in the world, highlighting the significant economic disparity between the wealthy and the poor.

Millions of South Africans live in poverty, and limited economic opportunities make it harder for vulnerable communities to cope. The gambling industry is a complex issue. It creates jobs, generates tax revenue, and provides entertainment. However, it also worsens social and economic inequalities. Research shows that gambling disproportionately affects those with the least resources. People who gamble may see it as an escape from hardship, but it can lead to financial distress.

The 2010 warning from the Gambling Commission is still relevant. It warned that irresponsible gambling can have severe negative consequences for society’s most vulnerable. In South Africa, where many households struggle to meet basic needs, the temptation of quick financial gain can trap people, especially those living in poverty. Problem gambling, increased debt, and broken families are serious outcomes that perpetuate cycles of deprivation and social instability.

The gambling industry’s role extends beyond business and entertainment. Operators, regulators, and policymakers must ensure human rights are upheld and inequalities are not deepened. This includes effective consumer protections, transparency, and prioritising at-risk populations. Safeguarding dignity, equality, and freedom in gambling is a moral imperative and crucial for a fairer South Africa.

When discussing responsible gambling, the focus is often on individual conduct, habits, funding of gambling activities, and risk management. While important, this narrow view overlooks the broader concept of ‘fair play’, which requires shared responsibility from consumers, operators, regulating boards, and support mechanisms. This perspective aligns with fundamental human rights issues in the gambling industry, where dignity, equality, and freedom are essential values that must be actively safeguarded. We explore some critical issues that support these fundamental human rights and fair play principles in the gambling industry and their relevancy to the Humans’ Right Day, commemorated on March 21.

Gambling and the Right to Dignity and Protection

The South African Bill of Rights, as enshrined in the Constitution, explicitly recognises the right to dignity and protection for every individual. Section 10 states that everyone has inherent dignity and the right to have their dignity respected and protected. This right requires all sectors of society, including the gambling industry, to ensure that their practices do not undermine the dignity of individuals. Fair play transcends mere regulations; it revolves around upholding human dignity and ensuring that every person can make informed decisions, receive equitable treatment, and be safe from harm. When there is a lack of transparency, hidden dangers, or insufficient support for at-risk individuals, these rights are undermined. A right to dignity should guarantee that all parties acknowledge their responsibility in protecting not only profits or involvement but also individuals.

Ethical Responsibility as a Human Rights Imperative

Operators have a responsibility to comply with gambling laws and protect players’ rights, which may involve ethical considerations. Research suggests a grey area between fair play and ethical responsibility, particularly regarding transparency on issues like house edge. Van Rensburg argues that the house edge, the built-in advantage operators have over players, is central to understanding where fair play may break down. In South Africa, the average house edge is around 5%, meaning a player placing a R100 bet is likely to lose R5 in the long run. Even with a lower advertised house edge of 3%, the odds are still stacked against the player. Van Rensburg further asserts that a gambler could lose half of their money after only about 23 bets at this rate.

The ethical dilemma arises when operators are not transparent about the house edge or exploit consumers’ lack of understanding. Without clear disclosure, players may believe they have a fair chance of winning, but the games’ design makes consistent winning nearly impossible. This lack of transparency undermines fair play, preventing consumers from making informed decisions. Van Rensburg’s analysis suggests that unless operators are upfront about the true probabilities and inevitable losses, the playing field is uneven, constituting non-fair play that disproportionately harms those least able to absorb financial losses.

Regulators as guardians of Fairness and Protection

South African regulators have a legal obligation to protect fairness and consumer rights in the gambling industry. They proactively identify and address risks to punters’ rights however there is a room to go even much further such as ensure transparency in odds, house edges, and gaming risks. They should intensify oversight of online advertising, especially promotions and influencer campaigns, to prevent misleading claims and protect minors. Key issues include stricter online betting platform monitoring, mandatory disclosure and enforcement of inherent gambling harm on all gambling related promotions. Urgently clamp down on illegal online gambling operators, and regular audits of operator conduct in safeguarding consumers. However, technological advancements by gambling operators create new regulatory gaps that challenge existing oversight frameworks, regulators must however within these limitations proactively address these gaps and adapt their approaches to ensure the evolving gambling landscape does not undermine consumers’ fundamental rights and protections. 

Advancing and Promoting the Right to Care

Support organisations are crucial in harm reduction and prevention, ensuring those affected by gambling have access to healthcare. Treatment for gambling addiction is a fundamental human right. Gambling-related harm can compromise dignity, health, and financial security. Providing proper treatment and support upholds dignity and protects against further harm, reflecting the Bill of Rights’ intent for equitable treatment and protection. The gambling industry has a critical responsibility to support access to treatment, beyond mere compliance. It’s an ethical imperative for operators to actively promote and facilitate care for those at risk. Transparency about gambling risks and odds empowers consumers to make informed choices and seek help when needed. 

The National Responsible Gambling Programme (NRGP) is an initiative by the South African Responsible Gambling Foundation (SARGF), it operates a 24/7 toll-free counselling line. It also has a network of treatment professionals offering confidential counselling and treatment of gambling related harm for individuals and families members battling with gambling addiction. The NRGP also runs prevention and education programmes, trains industry staff on how identify and assist individuals experiencing gambling harm and collaborates with regulators to ensure harm reduction and minimise gambling harm.

Human Rights Month reminds us to consider our rights and responsibilities. In gambling, fair play and responsibility are inseparable. Each role player in the gambling industry  has a role to play which is:

- Provide information and support to consumers.

- Operate ethically and transparently.

- Ensure fair and protective policies.

- Provide accessible care.

As we reflect on Human Rights Month, we remember that dignity and protection must extend to all human activities, including gambling. This means recognising everyone’s right to leisure activities without compromising their dignity, health, or financial security. Human rights principles demand fairness, accountability, and protection from harm. Applying these principles to gambling creates a safer, more equitable society.

Fair play is optional. Responsibility is non-negotiable. Both are crucial for ensuring South Africa’s gambling industry respects the rights, welfare, and humanity of all people. 

Sibongile Simelane-Quntana is the executive director of the South African Responsible Gambling Foundation.