The email says that the layoffs are a result of a new “realignment” strategy. “This realignment results in an expanded size of GameStop’s regions and districts, therefore reducing the number of field leaders required to run the organization,” the GameStop email says.
“Unfortunately, with these changes, there are more than 50 field leaders who have been impacted and will be leaving the GameStop team. This includes regional, district, HR, and LP leaders. These leaders will be missed and we wish them success in their future endeavors.”
In January, GameStop leadership ceased its attempt to find a buyer for the company. The company also posted a nearly half a billion dollars worth of losses last year. The retailer relies heavily on physical video game sale, but as the most recent financial reports indicate, digital sales of games are overtaking physical sales for companies like PlayStation and EA.
GameStop’s decision to layoff regional leaders and consolidate regions into larger zones appears to be a cost-cutting measure. The company is also in the process of dedesigning its stores into “unique experiences,” with a focus on live events and retro games.
IGN has reached out to GameStop for more details about the reported layoffs but have not heard back in time of publishing this story.
Matt Kim is a reporter for IGN. If you’ve been affected by the layoffs at GameStop please reach out on Twitter or [email protected]
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