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Home Gaming

Activision Blizzard: Mass Layoffs May Be Disruptive To Our Business

by Ian Chee
March 4, 2019
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Early last month, Activision Blizzard retrenched nearly 800 employees. Now, it has been revealed that in its annual Form 10-K report, the company said that the layoffs may not have the effect that it expected.

In an excerpt of the report, the company says that it may not be able to “realise the expected financial and operational benefits” of its layoffs. PC Games Insider reports that the company goes on to say that the layoffs could instead “negatively impact” its business.

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Among the reasons were cited in the report is that the restructuring process could be costly and might have undesired effects on staff morale and productivity. The company is also apparently worried about its ability to obtain and retain talents.

It looks like cutting down on staff may not be the best way to reduce operational costs after all, judging from this report. And judging from the high number of uncertainties cited in the report, it’s especially odd to see the publisher go ahead with the decision.

(Source: Activision via PC Games Insider)

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