Electronic Arts lays off 6 percent of its employees when things are good
Electronic Arts (EA) came to an unanticipated choice at a time when everything was improving financially. EA issued a statement that it plans to cut a substantial amount of its employees in keeping with its objectives.
We’ve noticed that there are massive cuts in all sectors in which the demand has fallen to their old levels particularly after the outbreak especially in the field of technology. Alongside the decline in demand in the industry, the even Electronic Arts (EA), the largest of the gaming industry, is suffering the consequences as economy-related issues are a factor as part of this “game”. The company has announced in a statement that it plans to eliminate 6percent of its employees.
Leaflet at Electronic Arts
EA reported a earnings of 1.3 billion according to its latest quarter’s report and managed to increase its profits even in these conditions, in comparison to the same period in the year prior. So, it is safe to affirm that the decision to sack the company was a bit unexpected. EA states that the decision is about optimizing. Certain teams that aren’t in line with the plans will be restructured but it wasn’t stated what teams would be restructured.
According to most recent data, EA has 12,900 employees So the number of employees laid off is estimated to be 774. EA will also give affected employees the chance to take on a different project if they are able. If that is not feasible the severance payment as well as health and transition services will be provided to those employees who are dismissed. The report states that the layoffs could cost between 170 to 200 million dollars.
