The layoffs continue . This time it’s EA, the publishing giant that has decided to lay off almost 6% of its staff. Amounting to a total of about 600 employees, the company announced this decision soon after its declaration of financial results for the quarter ended September 30.With losses amounting to USD 310 million hitting the company hard, the decision was inevitable says EA. The company aims to save as much as USD 50 million with its newest cost reduction plans. Considering this is before the effects of the current economic crisis have begun trickling in, future prospects do look scary. However, company executives have confirmed that it is too early to determine the effects of the slowdown. They however did confirm a slowdown in their retail sales in October. This could mean more bad news in the future though.
John Riccitiello, EA's chief executive says, "Considering the slow down at retail we've seen in October, we are cautious in the short term. Longer term, we are very bullish on the game sector overall and on EA in particular. The industry is growing double-digits on the strength of three new game consoles and increases in the number of homes with broadband internet connections."
The company also plans to reduce new hires considerably for the time being apart from closing some positions entirely.
Via: Gamesindustry.biz
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