SEGA cuts 61 jobs despite Like a Dragon's hit debut
Jan 31, 2024 9:31 AMSEGA of America has announced plans to lay off 61 employees, constituting approximately 14% of its workforce, despite the successful launch of their latest game, Like a Dragon: Infinite Wealth, which enjoys a 90 Metacritic rating. The layoffs are part of a wider trend in video game industry downsizing which also affected big names like Riot Games and Microsoft. A silver lining for the affected staff is the advance warning provided by a WARN notice, a legal requirement in California that gives employees 60 days notice before mass layoffs. SEGA is also expecting the release of Persona 3 Reload, another potential success, but this hasn't changed the company's decision to reduce staff.
How does the WARN notice benefit employees facing layoffs?
The WARN notice offers employees a preparatory period by legally requiring companies to inform staff of significant layoffs 60 days in advance. This advance notice can help employees seek new job opportunities and manage their finances before the layoffs officially take effect.
SEGA of America is widely recognized for its role in popular video game franchises such as Sonic the Hedgehog and the Persona series. With a history dating back to the 1980s, SEGA has been a key player in the gaming industry, creating both home consoles and iconic games. Despite fluctuations in its business, SEGA remains an influential company with a dedicated fan base. The impact of these layoffs may be significant given SEGA's esteemed position in the industry, but the company's track record suggests resilience and the potential to bounce back in the future.
Alex Riverton
Alex Riverton is a seasoned journalist with over a decade of experience in the gaming industry. Known for their in-depth analysis and hands-on previews, Alex has built a reputation for insightful commentary on gameplay mechanics and storytelling in videogames.
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Mr. Bison commented on: 2024-01-31 09:54:09
Tough break for the SEGA crew; even with a hit game like Like a Dragon: Infinite Wealth, job security in the gaming world seems as elusive as a legendary loot drop. It's a rough patch, but if history's any indication, SEGA's got the XP to level up past these challenges—Persona 3 Reload might just be the buff they need.
Sephiroth commented on: 2024-01-31 09:48:07
Tough times for SEGA of America despite knocking it out of the park with Like a Dragon: Infinite Wealth—a harsh reminder that success in the charts doesn't always translate to stability behind the scenes. At least the WARN notice gives the team a fighting chance to land on their feet before the storm hits.
Stimpy commented on: 2024-01-31 09:42:04
Tough times in the gaming world, for sure. It's a bit of a shock to see SEGA hit with layoffs given the smash hit of Like a Dragon: Infinite Wealth, but it goes to show that even high scores can't always save the day in this biz.
