http://kotaku.com/gaming/industry/lay+offs-hit-scea-hq-today-266292.php
Lay-Offs Hit SCEA HQ Today
Roughly 80 to 100 employees of Sony Computer Entertainment of America's Foster City headquarters were laid off today, Kotaku has learned from a source who was among those asked to hand in their badge and keys before leaving the premises.
"In an effort to accurately align the company to meet the changing needs of our consumers and of our industry, Sony Computer Entertainment America has found it necessary to analyze our current business and to restructure the company as necessary to continue our standing as the market leader," SCEA spokesman Dave Karraker told Kotaku this evening, when contacted for comment. " These restructuring efforts are currently underway and do include the streamlining of our operations and other initiatives to further strengthen the business, reduce costs and increase operational efficiency. "
Karraker declined to comment on the number of employees effected.
The lay-off meetings, which came as a surprise to even middle management, started in the morning and ran throughout the day, the source said. Departments were separated into two groups, with those being laid off meeting first and those remaining behind meeting next in half-hour sessions. Those who were laid off were asked to leave their belongings at the office and either have their manager pack up their desk for them or schedule an appointment some evening to fetch their possessions. Those laid off were give a fair severance package, the source added.
The lay-offs, which were proceeded by a months long hiring freeze, were prompted by SCEI's call for cut backs which in turn was spurred by the company's multi-billion dollar lossesand the sky-rocketing cost of PS3 game development, upper management told those who remained at the office.
The day of across-the-board lay-offs come just month after SCEE was hit by mammoth lay-offs which hit hundreds. Brian Crecente
