Sony have, for the first time in company history, "mothballed" employee wages and bonuses in an attempt to stem the company's financial bleeding.
Instead of laying off people like most greedy corps do how about at least doing all that is possible to save people's jobs. Freeze, cut wages, cut hours, little to no bonuses handed out to the top. Do what yuo can so at least people keep having some money coming in. In these tough times it's nice to see a company really try to hold on to their employees instead of just discarding them if it can be at all helped. I've even heard of a story of an owner of a small business taking a pay cut to retain their small work force.
they are still getting payed. why dont you read the article again.
They've already had a string of layoffs like many companies affected by the economy. This definitely a good alternative, I could name so many American business, specifically game development companies that could benefit from this. Many execs in America at least made a majority of their cash from the stock market by investing in their own companies, of course that isn't a viable option anymore.
Sony is doing big things this year, I can't wait for all the awesome games, they should be profiting like crazy in the playstation division this year
socomnick - what are u even talking about dude? I don't even need to explain.
Well they're freezing wages at their current level and people are still getting their bonuses. Most companies aren't even giving bonuses so Nick what are you talking about?
Yea I work at universal and we're not getting a raise this year. It sucks but more employees get to keep thier jobs.
Cutting executive bonuses seems much better than what is happening at Microsoft Game Studios. As of March 14th, contract employees (which make up a vast majority of the MS workforce) received pay cuts upwards of 15%.
Less people with money = less stuff that gets bought = less profit for businesses = more people get laid off = repeat cycle. If no one has money to spend, then how can the government get money from taxes? What the government needs to do is create MORE jobs for people, so those who get laid off can at least work at minimum wage. Although the government will be losing money by doing this, the end result is that the economy stops going down the drain and the government will get more money back from taxes.
My buddy's company is doing the same thing. It allows people to keep their jobs, plus the company doesn't lose any human bandwidth to get stuff done. Besides, a small pay cut is not so bad. The way I see it, salaries were over inflated anyway along with the rest of the economy (see: housing). I feel for those who bought overpriced homes though. @rockleex: That's exactly what they are trying to do.
hmm this explains why Sony's stock is going up. Interesting.
better then firing them
im shocked u didnt have an ignorant comment
yup! But that beast its bleeding and i don't like it. None of us Gamers should be happy about it. We need Nintendo, Microsoft & Sony in the industry. That company its really important to the people of japan. http://www.sony.net/Fun/SH/... http://www.sony.net/Fun/SH/
MS and sony need to make a profit in their games division. Sony needs to cut production costs to recoup losses on PS3 and MS needs to publish A LOT of new games to help recoup losses on the original Xbox.
hey it least the bigshots get pay cut to
and that media hate against Sony continues.... Meanwhile AIG steals Billions from the American taxpayer
Other big companies can take some lessons from Sony's approach instead of the easy way out by laying off people. Sony is more than aware that when times start getting better it will cost them money and time to employ staff and train them. Sony obviously values there investment in there staff and would rather retain them than loose them if possible. Good on them for having the gonads to at least try.
You are aware that Sony have already given 16,000 people a pink slip. Are you not?
pretty sure hes talking about this article. All you sony haters need to stop with last time arguement. His and other people's comments are about this article, which is recent.
what do you want Sony to do?. Fire these people as well?. Geez think for a minute.
Good ol Commander She-turd......
My sister got laid off today, she would've accepted lower wages. She has house and car payments and a 19 month old daughter. They can't live on her husband's wages alone. I was going to submit this but approved it since it was already pending
should be doing this by now and not do what AIG just did.
Beautiful solution, Sony.
Many companies face tough choices in these difficult times! Most have either fired people or offered reduced hours and pay. Sony has done both! There is nothing beautiful about that. This way people actually have to consider what is more preferable. Working for Sony or being fired from Sony.
xbox section is ----> that way. Sop trolling. Yea they have laid off before but they just recently decided decided to let those poeple keep their jobs. Be happy for those poeple that can still work. This is real life sistuation keep your fanboy filled comments to yourself. Maybe one day when you move out of your mother's house you can understand whats going on.
@Shepard from your stance, it appears you prefer it that Sony lay people off. Gee, don't you wish your supervisor laid you off instead of cutting your bonuses huh?
this year and gain a lot of profitability because I respect many of their business practices. I really appreciate all they do for the video game industry and I think they deserve to be treated better by the media and gamers alike. They are trying VERY hard to meet the incredibly high demands of their market. I have always admired their commitment to quality. I know they have had their duds in the past, but for the most part their name is synonomous with quality.
Sony have cut/frozen employee wages AND fired 16,000 people.
16,000 is not that much by their standard. Sony is doing all of this while not asking for a bail out.
this guy is full of fanboyism. He just can't get in his head that this after the lay offs. These poeple could have been laid off but they got lucky. Poeple get laid off all the time, its bussiness. All companies want to maximizie profits or cut loses. Its not a evil thing. Maybe you will understand when you grow up.
You've stated that at least 3 or 4 times in comments already, but I guess you had to try and hammer it home. Nobody was denying it but you just can't stop screaming it can you?
Hey Shepard, USC HC dept laid off the entire cardiology dept! Nobody got the option to accept lower wages or have their bonuses cut. They were all gone! Even those that worked for 15+ years! So what if Sony laid off / fired people before? Other companies do that! The point of this article is Sony "freezing" bonuses and such. What of that you don't get?
Finally,they're trimming the fat and doing exactly what they need to do in order to cut costs. A few more lay-offs and a $100 Ps3 price cut just might happen.
.... I seriously hope thats sarcasm. Because if not your saying that the jobs and wellbeing of hardworking employees, is justifiable so that you can have bragging rights, because you already own a PS3 and I can't imagine any other reason why you would be at all enthused at the idea. I really hope thats not the reason Sony is cutting employees, because many annalists have said a price cut, unless its to 200 or 250 dollars, is not going to have that substantial of an effect on sales.
Sony to freeze wages for a year - Nikkei ----------------------------- ----------- NEW YORK, March 18 (Reuters) - Sony Corp (6758.T) has decided to freeze its workers' salaries for the year starting in April to improve profitability, the financial daily Nikkei said in its Thursday edition. The paper said workers' bonuses will also be lowered to four months' pay from six months, and annual compensation for managers will be dropped 10 to 20 percent through wage cuts and 35 to 40 percent bonus reductions. "Executives will also be slugged with huge cuts to bonuses and salaries," Nikkei said. Due to the global economic downtown and the strength of the yen, Sony is expected to report a group operating loss of 260 billion yen ($2.65 billion) for the year ending March 31, the paper said. ($1=98.1086 yen) (Reporting by Gerald E. McCormick) --- imo, this is a very commendable move by sony!
My job gave me my yearly bonus and gave everyone a raise. But a month later rolled back all the raises and apologized. Their reasoning was to keep from laying people off, which I found commendable. Good for Sony though, it truly is the right thing to do.
why is everyone saying good for Sony and commending them as if they have done some good deed? This is standard business practice, layoff as many people as you can afford to and still be able to operate, cut wages of the remaining staff. You people act like they just donated a years profit to starving kids in Africa. What is wrong with you people? have you all gone mad? If this was MS you would be calling them greedy bastards, you guys do know you all sound like nut jobs right? I mean this is going too far. If we found out it was Sony who gassed people during WW2 instead of Hitler would you people say "good for Sony, at least they didn't torture them?"
I'd love to see what you'd say about Microsoft if they did the same.
Im a 360 fanboy, we don't worship Microsoft, if this news was about M$ doing the same I would not comment on it at all, that is the difference between me and you freaks. You all seem to think Sony can do no wrong. I think MS was wrong to layoff the people they did layoff, they are in absolutly NO financial trouble, they layed those people off because PROFITS were projected to SHRINK due to the economy, not go away but shrink, which means they are still making a huge profit, just a little less huge so they lay people off, I have no problem bashing them for what I think is wrong. You people would NEVER bash Sony for ANY reason, and you even praise them for things they deserve no praise for like you are doing in this instance. You people are a collective joke, and you are making it seem like all PS3 fans are a collective joke. Anyone who still takes you people serious should stop, lord knows Sony stop taking you guys serious a long time ago.
This man needs more bubbles. I'm not a 360 fanboy because I don't own either console. But you've taken your giant 10 ton hammer and really nailed it home. What I'm seeing in these comments were enough to get a "Holy Sh*t! wth is wrong with these people" out of me Seriously these comments are eerily similar to how the macintosh fanatics view Apple. I never thought I'd say this actually as those guys are beyond cult like and are off in their own corner of La La Land praising a cardboard cut out of steve jobs.
Hahah mr marbles rightly said. Bubbles
no one is talking about MS until you brought them up in this story about Sony freezing bonuses and wage increase which apparently also save jobs. Are you x360 fans really that insecure? I find it funny that you guys just come into a PS3 related article and bash Sony for anything. Its sad really. You guys come charging in here accusing PS fans of praising Sony for anything when you really don't know jack about PS fans you are attacking. Yeah. It must be a Sony cult.Yeah we sacrifice a goat to our Sony gods every full moon. Geez. Get a grip. I can easily turn it around and generalize and ask why you people never see any good in what Sony does and always bash Sony. See i can also do it. What you people fail to see is. 1. This is not about MS and how PS fans would never see any good in what MS does. 2. This story is not about Sony cutting jobs before like everyone else. 3. In these tough economic times. Sony is doing what is right. They have frozen wage increase and bonuses for everyone including top management which will give everyone in the company a fair go. All too often in big corporations they let go of lower level staff so that top execs salaries increase and bonuses won't be affected. Thats has been the practice for quite a long time for most corporations but it seems that Sony are not doing that any more which is why we are applauding Sony. Recently AIG gave their top management bonuses even though they have fired numerous employees which is exactly the opposite of what Sony has done. Marbles. You need anger management class. You are always angry. Go and get help. Its funny that you think you are so smart but in reality you are not very bright. I am not being rude as i am being honest. You think that you are talking to a bunch of high school kids when you are not.
@evrfighter, Yeah, go to other websites with a 360 majority, and there you'll find people who are in the "la la land". And seriously, if you don't like this site, then leave. We're not forcing you to be in this site nor shall we miss you! So please, GO!! @marbles, Seriously, dude. This article had NOTHING to do with Microsoft. Yes, we already do know the point that all companies do the same damn thing. What this article is all about is that Sony DIDN'T fire more of their employees. And unlike other American companies here that still give bonuses, Sony decided one appropriate thing, that is to cut bonuses. Take a look at your example: " I think MS was wrong to layoff the people they did layoff, they are in absolutly NO financial trouble, they layed those people off because PROFITS were projected to SHRINK due to the economy, not go away but shrink, which means they are still making a huge profit, just a little less huge so they lay people off, I have no problem bashing them for what I think is wrong." So there you go, Sony DIDN'T go to the same course as Microsoft, so that's why we're happy about it. And here you are acting all pissed off, *SEEMINGLY* because your favorite MS company didn't do the same thing. Sorry, but you saying that you don't worship MS sounds like you pulled it out of your own fart. So if people are giving praises to Sony for doing what they did, so what? Sony did some major screw ups themselves, and all of us knows that.
That's good and bad for the employees but its better then loosing your job (like me)
It still doesn't change the fact that the majority of N4G likes Sony. Again,excellent move by Sony that is sure to make their investors happy,it's strategic layoffs like this that enable them to be the most dominant force in the electronics industry. I suggest Sony layoff 10,000 more employees(with the majority of the layoffs occurring in Japan),the sooner they get rid of the dead weight the better the Playstation business will become.
Bragging rights?You think people want Sony to drop the Ps3 price for....bragging rights? Dear God,you can't be this blinded by the Xbox logo can you?
nah he's being blinded by a certain company's figurative genital sack constantly being slammed into his retinas every nano second.
wow 2 disagree? lol fanatics
make that 3 :)
Here you go Mr Marbles. http://www.salon.com/wires/... This is a link to news that on the 26th of Feb Microsoft cut wages and overtime and then froze wages for all temp workers. That's after making them take a mandatory 100 days leave. Temp workers make up 45-60% of all Microsoft workers. Hmmm. That turd sandwich must be tasty because those are some mighty big bites you're taking Mr Marbles.
WTF does this have to do with M$? I don't care what M$ does or did to their employees? Besides your just proving my point, this laying off and freezing wages is standard corporate procedure, so why are you guys praising Sony as if they did something revolutionary?
"If this was MS you would be calling them greedy bastards, you guys do know you all sound like nut jobs right? I mean this is going too far." It was done by Microsoft and I didn't call them "greedy bastards". Your myopic attempt to cover yourself didn't even stretch as far back as your last post. Seriously, good choice on the Al Gore Avatar. I think it suits you.
@lostdjinn The dude is an xbox360 fan who's saying he's more pissed off at M$ for doing the same thing because of projected profits. what exactly are you getting at? you've completely taken his comment out of context as well COMPLETELY dodged his last comment and really made yourself look like an idiot. I myself (I don't own a console and have hated M$ since the 90's) am surprised to see a bunch of fanatics that's almost reached the same level of stupidity as the macintosh nutjobs go on about how great Sony is for doing what any corporation would do...
Mr Marbles didn't post anything about being a 360 fan until after my comment. He's done so as a reaction to being caught out on his comment "WTF does this have to do with M$? I don't care what M$ does or did to their employees?" so don't bother going down that path. Now evrfighter, if you'd be so kind as to show me where I've condoned Sonys actions I'd be ever so grateful. Don't assume something to further your own agenda.
lol further my own agenda? holy wow this made my day. I rest my case.
@evrfighter, Yes, it's standard company procedure. BUT how many companies do it, that's the point of the people in here. Microsoft didn't, and how many other companies went to the easy route instead? The ironic thing is, you try to make it look people are delusional and doesn't to get your point, but it is you and Mr. Marbles that are the other way around.
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