Electronic Arts (EA) announces layoffs for 6% of its employees, in what he calls a restructuring operation. The CEO Andrew Wilson explains that the company wants to focus on its portfolio and reduce real estate costs. Affected workers will receive an exit bonus and other benefits.
EA, layoffs for 6% of employees
Electronic Arts (EA)one of the largest video game publishers in the world, has announced plans to reduce its staff by around 6%, equal to about 780 employees. The news was reported by the Wall Street Journal, which cites a post on the blog by EA CEO Andrew Wilson.
Wilson explained that the decision was made to adjust EA’s investment strategy to market needs and to optimize the use of office space. He added that EA is moving away from some projects that don’t align with its vision and that it is restructuring some of its teams.
Electronic arts
“These decisions are difficult and we do not take them lightly,” Wilson wrote. “We are grateful for the input of all our colleagues and are committed to supporting those affected by these changes.”
Wilson said EA will offer laid-off employees severance pay, health care and transition services. He also said that EA will try to transfer some workers to other projects if possible. According to a document filed with the Securities and Exchange Commission (SEC), EA will face an expense between $170 million and $200 million in severance and restructuring costs.
EA is known for publishing popular games like The Sims and FIFA, but it has also faced some challenges in recent times. In February, EA fired about 200 testers of his Apex Legends online game during a Zoom call, according to a report from Kotaku. In January, EA announced the closure of Apex Legends Mobile and the cancellation of his mobile game Battlefield. Plus a new single-player Titanfall.