EA to cut 6pc of workforce putting Galway jobs at risk

Video game company Electronic Arts (EA) plans to cut 6pc of its global workforce – estimated to be roughly 800 jobs – and reduce its office spaces.

In a statement to staff, EA CEO Andrew Wilson said the company is a leader in the “dynamic industry” of gaming and needs to focus on strategic priorities “now, more than ever”.

“As we drive greater focus across our portfolio, we are moving away from projects that do not contribute to our strategy, reviewing our real estate footprint, and restructuring some of our teams,” Wilson said.

“Where we can, we are providing opportunities for our colleagues to transition onto other projects. Where that’s not possible, we are providing severance pay and additional benefits such as health care and career transition services.”

EA had just under 13,000 employees by March 2022, according to a quarterly filing seen by CNBC. The company employs hundreds of staff in Galway, where it has established its European customer service and operations centre.

In 2010, EA announced it would create as many as 200 jobs at the new site. In 2012, the game giant said it would create 300 jobs at this facility. The company’s Facebook page states that there are 400 employees at the Galway site

The Galway site houses various teams for EA’s customer experience, quality assurance, quality engineering and digital platform businesses. It is currently unclear how many of EA’s Irish staff will be affected by the job cuts.

Wilson said the company began communicating job cuts earlier this quarter and expects this to continue “through early next fiscal year.”

“I want to extend my deepest appreciation to all of our employees who have contributed to our incredible story so far,” Wilson said. “It’s through your love of games that we continue to deliver on our mission of inspiring the world to play.”

Various tech companies have been on a trend of reducing their workforce to optimize efficiency, after last year saw a bout of macroeconomic issues and a growing energy crisis.

Last week, job search platform Indeed it revealed will lay off 2,200 employees globally as CEO Chris Hyams said the company is “simply too big for what lies ahead”. Earlier this month, Irish tech company Workhuman shared plans to cut 10pc of its global workforce.

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The EA logo. Image: Paul Downey via Flickr (CC by 2.0)