Title: Electronic Arts Plans Workforce Restructuring, Including 5% Layoffs
Electronic Arts Announces Major Workforce Restructuring
Recently, it was reported that Electronic Arts (EA) plans to lay off around 5% of its workforce, equating to approximately 670 employees. This decision aims to restructure the company and amend its operating model. The news emerged after EA’s announcement of ‘small wave’ layoffs following the closure of two mobile games.
Impact on Industry Workers
In recent days, thousands of industry workers have lost their jobs due to ongoing struggles in the wider business. Notable examples include PlayStation and ESL FACEIT, which have suffered significant layoffs.
EA CEO Andrew Wilson emphasized that the company intends to move away from licensed IP development, but this will not impact games currently in production, such as Black Panther and Iron Man titles.
Cost of Restructuring
According to a report by GamesIndustry.biz, the restructuring effort and related redundancies will cost EA up to $165 million. This wave of layoffs marks the second significant reduction in the company’s workforce within a year, bringing the total number of laid-off employees to around 11% of the entire organization.
