https://www.cnbc.com/2023/03/29/ea-laying-off-6percent-of-workforce-reducing-office-space.html

Digital Arts is slicing 6% of its workforce, equal to about 800 jobs, and decreasing workplace house, the online game firm stated Wednesday.

“As we drive larger focus throughout our portfolio, we’re transferring away from initiatives that don’t contribute to our technique, reviewing our actual property footprint, and restructuring a few of our groups,” CEO Andrew Wilson wrote in a word to staff. Layoffs are “essentially the most troublesome half, and we’re working by way of the method with the utmost care and respect,” he wrote.

The corporate expects to take impairment prices starting from $170 to $200 million, in response to a submitting with the SEC. EA expects the actions related to the restructuring plan shall be “considerably full” by the tip of September.

Wilson stated EA would offer severance and well being care to affected staff, noting that layoffs had begun earlier within the quarter.

EA had slightly below 13,000 staff, in response to a quarterly submitting in March 2022. In January, the corporate missed estimates on quarterly income and offered a bookings forecast that was weaker than anticipated.

Chief Monetary Officer Christopher Suh stated on the earnings name that EA shall be “very deliberate,” with a specific concentrate on the “tempo of hiring.”

An organization spokesperson declined to remark additional on Wednesday’s announcement or to offer a precise variety of job cuts.

EA joins an extended listing of tech corporations which are in downsizing mode. The financial downturn and market reversal led to mass layoffs in 2022 and a extra speedy tempo of cuts this yr. Over 155,000 tech business staff at greater than 500 corporations have misplaced their jobs in 2023, in response to knowledge from Layoffs.fyi.