GameStop confirms more than 120 layoffs

GameStop confirmed layoffs at its corporate headquarters, which affected more than 120 employees, or 14% of the total workforce associated with the company's headquarters. In a statement to IGN, GameStop confirmed that it had launched the layoffs as part of its GameStop Reboot initiative. "[W]We can confirm that a downsizing has been implemented, affecting more than 120 positions within the company, which represents about 14% of all our employees at our headquarters. company as well as in other offices, "said GameStop.

Here is the complete GameStop statement below:

As part of the previously announced GameStop Reboot initiative aimed at transforming our business and improving our financial performance, we can confirm that a downsizing has been implemented, affecting more than 120 positions within of the company, accounting for about 14% of the total workforce of our company. headquarters and in some other offices.

While these changes are difficult, they were necessary to reduce costs and better align the organization with our efforts to optimize business to meet our goals and future success factors. We recognize that this is a difficult day for our company and especially for the affected associates. We appreciate their dedication and service to GameStop and we are committed to supporting them during this transition period.

The layoffs come at a time when Game Informer, a video game publication published by GameStop, also announced a series of layoffs to its editorial staff.

GameStop has been in a difficult position for two years. In August, GameStop fired more than 50 district district officers and consolidated its regional offices. All of this is part of a "realignment" strategy to help the company reposition itself in a changing gaming retail market. GameStop relies heavily on sales of physical video games, but the market has turned to digital sales in recent years.

GameStop recorded nearly half a billion dollars in losses last year. The company's sales efforts have also failed and the company has since given up looking for a buyer. As part of GameStop's efforts to change the changing retail landscape, it is necessary to rethink its stores as "one-of-a-kind experiences," focused on live events and retro games.

Matt Kim is a journalist at IGN. If you work at GameStop, please contact IGN at [email protected] or Twitter.