US publishing giant Electronic Arts is making roughly six per cent of its workforce redundant.
In a filing with the SEC, the company said that this was part of a restructuring plan that would impact how much it is spending on real estate as well as the areas in which the firm can grow. EA previously reported employing 12,900 people around the world, meaning that a six per cent cut would clock up to around 775 people losing their jobs.
Electronic Arts reckons that the cost of implementing its restructuring plan will cost between $170 million and $200 million. Of that figure, between $55 million and $65 million has been set aside for handling severance and any costs related to its employees. Another $65-to-$70 million is related to the impairment of IP.
"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 in a note to staff, as reported by GI.biz.
"This is the most difficult part, and we are working through the process with the utmost care and respect. 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."
This comes in the wake of EA cutting 200 jobs in its Baton Rogue office.