SCEA HQ employees not spared from lay-offs

Although we all saw this coming based on the SCEE and previous SCEA E3 marketing committee job cuts, it still came as a surprise to most people – including middle management – when Sony Computer of America (SCEA) laid off around 80 to 100 employees yesterday. According to Kotaku’s source, who was among those let go, terminated employees were asked to leave their belongings in the office and turn in their keys and badges before leaving the premises.

In a statement given to Kotaku, Dave Karakker explained that this move was prompted by the current restructuring efforts of the company, which included streamlining its operations and other initiatives to reduce costs, increase operational efficiency, and strengthen the business.

In an effort to accurately align the company to meet the changing needs of our consumers and of our industry, Sony Computer Entertainment America has found it necessary to analyze our current business and to restructure the company as necessary to continue our standing as the market leader.

Karakker, however, didn’t give information on how many employees were affected.

The lay-off meetings occurred throughout the day, with upper management talking to those laid off first, and then meeting with the employees who remained later. It was explained to the latter that the lay-offs were a result of the company’s multi-billion dollar losses and the high cost of PS3 game development. SCEA had no choice but to answer to Sony Computer Entertainment Inc.’s (SCEI) call for cut backs.

Kotaku’s source added that those let go were given a “fair severance package”.

Although we all saw this coming based on the SCEE and previous SCEA E3 marketing committee job cuts, it still came as a surprise to most people – including middle management – when Sony Computer of America (SCEA) laid off around 80 to 100 employees yesterday. According to Kotaku’s source, who was among those let go, terminated employees were asked to leave their belongings in the office and turn in their keys and badges before leaving the premises.

In a statement given to Kotaku, Dave Karakker explained that this move was prompted by the current restructuring efforts of the company, which included streamlining its operations and other initiatives to reduce costs, increase operational efficiency, and strengthen the business.

In an effort to accurately align the company to meet the changing needs of our consumers and of our industry, Sony Computer Entertainment America has found it necessary to analyze our current business and to restructure the company as necessary to continue our standing as the market leader.

Karakker, however, didn’t give information on how many employees were affected.

The lay-off meetings occurred throughout the day, with upper management talking to those laid off first, and then meeting with the employees who remained later. It was explained to the latter that the lay-offs were a result of the company’s multi-billion dollar losses and the high cost of PS3 game development. SCEA had no choice but to answer to Sony Computer Entertainment Inc.’s (SCEI) call for cut backs.

Kotaku’s source added that those let go were given a “fair severance package”.