The business world has entered into fiscal year 2014, and with a new financial year often comes adjustments to how companies run. Publisher Electronic Arts is doing just that and it’s resulted in some job cuts across their global teams. It’s rumoured that as much as 10% of their workforce has been let go. At last count, EA employs about 9, 000 people worldwide; 10% of that amount means a lot of people are now out of a job.
Kotaku has managed to get hold of the EA internal memo that was recently sent to employees. That memo, by CEO Larry Probst, acknowledges the job cuts but does not clarify how many were affected. It does, however, speak about some of the internal shuffling that is going on, with a number of high profile EA employees moving to new areas of the company to undertake completely different portfolios. You can read the memo in its entirety after the jump.
On top of these confirmed job cuts, rumoured additional changes at EA include the shutting down of their EA Partners publishing label. The Partners label allowed independent developers to publish their games through EA. This saw the release of titles like the Crysis games, Epic’s Bulletstorm, Double Fine’s Brütal Legend and Valve’s The Orange Box. Despite the acquisition of internal memos and official statements, EA has not confirmed the closure of their EA Partners wing, but they haven’t denied it either.
FROM LARRY PROBST
As we begin the new fiscal year, I want to provide you with a brief update on some important changes to our organization. As Executive Chairman, my focus is to ensure EA is delivering high quality games and services to our consumers, while helping the executive team develop a FY14 operating plan that drives growth, rationalizes headcount and controls costs.
In recent weeks, the executive team has been tasked with evaluating every area of our business to establish a clear set of priorities, and a more efficient organizational structure. This process has led to some difficult decisions about the number of people and locations needed to achieve our goals.
The workforce reductions which we communicated in the last two weeks represent the majority of our planned personnel actions. We are extremely grateful for the contributions made by each of these individuals – they will be missed by their colleagues and friends at EA.
We are also taking action to streamline our organization, including changes in two key areas:
· Core marketing functions have been consolidated under our COO, Peter Moore. The combined group will bring together our Label marketing teams, Global Acquisition Marketing and Marketing Analytics into one multi-talented team under Todd Sitrin’s leadership. The development and marketing teams will continue to work as cohesive units, driving clear and consistent messaging and consumer engagement for each of our franchises.
· Origin will move into Frank Gibeau’s Labels organization. Andrew Wilson will take on the leadership of Origin, working with CJ Prober and the team to create more value and an enhanced entertainment experience for our consumers.
Change is sometimes difficult, but essential. The adjustments we are making will put us in the best position to build great games and services, deliver them more efficiently to consumers, and demonstrate to players around the world why they should spend their time with us.
EA is a great company, with talented and hard-working teams, a strong portfolio of products and an extremely bright future.
Thank you all for your dedication and commitment to our long term success!