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Here's The Memo EA Sent Employees During Today's Layoffs

Kotaku - EA laid off a whole bunch of staff today, and temporary CEO Larry Probst sent out a letter to employees that Kotaku has just obtained.

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majiebeast1251d ago (Edited 1251d ago )

I wish everyone who lost their job the best of luck and hope they find a great new place to work.

They fire the good people(Developers including a 13 year veteran at Bioware) and they keep tools like, Frank everyone wants facebook in their games Gibeau.

Richitello probably still got his golden handshake for his services. Gotta love captitalism.

guitarded771251d ago

Well said...

On Topic: I thought this line was messed up "executive team develop a FY14 operating plan that drives growth, rationalizes headcount and controls costs". How crappy is it to lose your job and them say "we were just rationalizing headcount"? F the suits.

HappyGaming1251d ago

But an organisational structure with more people then required creates a slower and more bothersome environment to work in.

Sometimes suits have to let people go even if they are losing talent just to streamline the departments.

Firing people can also move a structure to a less bureaucratic system.

Lets hate on EA but the suits in that company are doing their job right. Please reply if you disagree.

Gaming1011250d ago (Edited 1250d ago )

It is good to fire people if you want a short term boost in profit due to the lack of salaries you have to pay out, however data shows that this doesn't work to boost profit in the long term. This idea that it creates a bothersome working environment is complete spun nonsense from Public Relations people writing on behalf of CEO's.

In reality, when you lay off your best employees, it creates a sinking ship mentality. This is where the highest quality employees are afraid to lose their jobs when a company claims to be "creating a more efficient working environment". What happens is the higher quality employees leave the company as their skills are highly marketable. The only people who stay with your company are those that don't have good, marketable skills, and so you are left with a company with sub-par talent.

Getting rid of all that great talent was typical American business practices, where executives are afraid they'll not get as big a bonus this year (usually millions of dollars). This is done to get a couple of years of obscenely high bonuses due to cutting all your staff, it artificially raises your profits due to gutting your costs, then guess what? The executive leaves the company after making all that money. They almost always do, after a few years of CEO bonuses they have no need to work anymore as they have made several million dollars, and they couldn't give two shits if the company tanks after they have left, they already made their money. You will usually find them getting hired at a different company to temporarily boost that company's profit to appease shareholders, only he'll gut the company and do the same thing all over again.

What EA should have done was created more projects and utilized all that great talent. This would have boosted revenues and instilled a better corporate culture, where people aren't afraid of losing their jobs every time the CEO wants a bigger bonus, or is afraid of losing his bonus. Instead, they decided to gut the company to cut costs. Just watch, as you always see executives leave companies within 1-3 years, you'll see an executive change in no time. EA did already get a new guy in charge if I remember correctly, and this is the result.

yeahokchief1251d ago

If you don't like it then don't buy it.

1nsomniac1251d ago

That doesn't even make sense, I think you left your auto-response left on...

yeahokchief1251d ago

if you dont like my comment then dont read it

ThanatosDMC1251d ago

Lol! Nice comeback. HAHAHAHA! Funniest comment today.

jerethdagryphon1251d ago

golden handshake is coming on board =signing bonus
golden parachute is when you leave =big pension and stuff

Droidbro1251d ago (Edited 1251d ago )

@Majiebeasts "gotta love capitalism" Why are you trashing capitalism? Do you hate video games?

cindy77ladner1251d ago SpamShow
brenda88berry1250d ago

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+ Show (3) more repliesLast reply 1250d ago
Agent_hitman1251d ago

I feel bad for those people who lost their jobs at EA's hand.

Crazay1251d ago InappropriateShow
Wagz221251d ago

Wow really to all the disagrees?! So your happy that they lost their jobs? I guess when your 12 and immature and don't have a job its hard to feel empathy...

sackboyhappy1251d ago

i think there's some weird people on here that disagree with comments without even reading them 1st just to anoy people.

kreate1251d ago (Edited 1251d ago )

Depends.. sometimes its not the comment thats the problem, it also depends on who is making that comment.

I dont have any problems with agent_hitman. But considering he has 1 bubble, most likely he offended someone prior,thus he might get disagrees to something that typically wouldnt have disagrees with.

Tultras1251d ago (Edited 1251d ago )

you're*

Tr10wn1251d ago

yeah some people just look for keywords like "EA" you said EA ill disagree with you, that how N4G work.

Kaneda1251d ago

Probably Activision fanboys...

lonesoul651251d ago

People don't disagree to the losing of jobs. It is how it is worded. "at EA's hand" is kind of adding a little something to create a reaction. It sucks to lose your job, but that is life and business. You want a better EA? Stop picking at every move they make, this might be one step in the right direction for the company.

TheUndertaker851250d ago

Actually I'm thinking something a little odd, but hey.

So, three quarters of the users here don't like EA, the games they release, or most of the developing companies under EA due to how they handle titles. While I won't claim I'm one of those people nor will I say that this move will help better EAs name, wouldn't it also mean that part of the EA you all despise is on their way out the door?

Just saying. Some people seem to have this illusion that EA is somehow a living, breathing thing by itself without a shred of humanity in it. Then people get laid off like this and it's instantly: "Oh, poor them. EA is so terrible." while they disregard the fact that those people being laid off were a part of the problem to begin with.

+ Show (4) more repliesLast reply 1250d ago
KONAAs1251d ago

u say you feel sorry for their jobs lost, but i bet your one of the people that get mad for the online pass code, the irony

jdaboss1251d ago PersonalAttacksShow
TheMailman1250d ago (Edited 1250d ago )

KONAAs I like your nickname..

DragonKnight1251d ago

What I got from this was...

"Hey, this is what we're going to be doing this year. Yeah, it's super exciting and it's going to be great. Here's the thing... you're not going to be a part of it. But wow is this going to be a great year for us."

And that is in keeping with every single statement every executive at EA has ever made, especially Peter Moore's recent statements surrounding microtransactions, Origin, and when EA was nominated for the worst comapany in America. It's all about them, what they want, and screw everyone else.

Bimkoblerutso1251d ago

Yeah, that would piss me off SO much getting a letter like that.

"Thanks for all your hard work in insuring our continued profitability...now get the HELL out."

NonApplicable1251d ago (Edited 1251d ago )

Try not to be so cynical. Businesses often need to lay people off to sustain themselves.

nukeitall1251d ago

As a business owner, I can say that often times we have to get rid of the bad apples. In addition, if business isn't going to well, that suggest the people involved isn't doing a very good job.

What most "working" people don't get is that, you are only worth what you produce in value back to the company.

It isn't as simple as "I put x hours then I should get paid y amount".

If you do that, you are likely to keep your job a lot longer and advance while your at it.

Now, keep that advice, bookmark this page and when you get successful because of my wisdom, than reward me! :D

Bottom line is, when your own money is on the line, things rapidly change. It happens to everyone, every single time.

It's easy to spend others money, way harder when it is your own!

After all, loosing a job means lost wages....

DragonKnight1251d ago

@NonApplicable: "Try not to be so cynical. Businesses often need to lay people off to sustain themselves."

This is different. EA is being patronizingly insulting. The memo talks about how they'll keep going forward to do amazing things. A person being fired doesn't care about that. They care about where their next pay check is going to be coming from, why they lost their job in the first place, and if it's their fault. But EA doesn't give a damn about that.

@nukeitall: "As a business owner, I can say that often times we have to get rid of the bad apples. In addition, if business isn't going to well, that suggest the people involved isn't doing a very good job."

In EA's case, neither is applicable. And I also take issue with the fact that you claim that if business isn't going well that it suggests that the employees aren't doing a good job. There are many factors that contribute to poor business including, and most often, poor management and business models.

For EA it's a known fact that they over staff. There's no job security in an environment like that with poor management and ridiculously infeasible long term business models.

Bobby Kotex1251d ago

@nukeitall you have no idea why mass layoff happen. It's all about immediate numbers. Laying off the staff will reduce overhead, and show some dollar signs on paper for the investors. More often than not, it hurts the company in the long run. That's why after mass layoffs many companies start hiring back up again the next quarter.

And don't try to compare your mom and pop shop to a large corporation like EA.

nukeitall1250d ago

@DragonKnight:

"There are many factors that contribute to poor business including, and most often, poor management and business models."

So why do you have a poor business model? Because of management? Well, then what is management, but staff!?

A well run company has good staff, and good staff will find a way for a company to survive. A poorly manage company will do the obvious.

Point being, management is also staff!

@Bobby Kotex:

"It's all about immediate numbers. Laying off the staff will reduce overhead, and show some dollar signs on paper for the investors. More often than not, it hurts the company in the long run. That's why after mass layoffs many companies start hiring back up again the next quarter."

It's called pruning, and you lay off the bottom feeders and re-hire fresh and eager new employees.

It generally doesn't hurt the company at all and actually helps. It is only a problem if you are too aggressive.

"And don't try to compare your mom and pop shop to a large corporation like EA."

At this point we are actually a mid-size company now, but our problems aren't much different than a larger corporations division except a lot more responibilities for everyone.

However, you wouldn't know anything about that, because you just assumed things convenient for your argument.

+ Show (2) more repliesLast reply 1250d ago
SonyPS41251d ago

I will never work for EA, ever.

OrangePowerz1251d ago

How do you know? Its not that difficult to get a job in QA or maybe he is a designer or programmer?

majiebeast1251d ago

David Jaffe actually started as Q&A tester.

MooseyXTC1251d ago

Glad we could wrap that one up, Sony.

Crazay1251d ago

The gaming industry is in the crapper right now. Digital Extremes is also cutting heads left right and center. I sure hope this trend stops.

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