After that SEGA Sammy announced the sale of the arcade department, the company is now asking 650 Japanese employees to take “voluntary retirement”; all this is the answer to a crisis caused by the Coronavirus pandemic.
SEGA Sammy Holdings was formed after the merger of SEGA and Sammy in 2004. According to the company, the global pandemic has “significantly affected” the business, which is why the company is selling its arcade business. “However“continued SEGA Sammy in an official announcement,”to recover earnings at an early stage and achieve sustainable growth in the future, we believe it is necessary to promote cost reduction focused on fixed expenses and build an efficient system“.
SEGA Sammy is therefore asking 650 full-time employees to retire voluntarily, giving all who choose to do so. “the payment of extraordinary retirement benefits and support for re-employment for candidatesIn addition, the company is cutting the salaries of its executives. The company’s Representative Director is about to get a 30% monthly pay cut, while the Senior Executive Vice President will see his salary drop by 20% and the Senior Vice President of the company. 10%.
According to SEGA Sammy, the company expects to post losses of around 10 billion yen ($ 96.6 million) in the financial year ending next March.
Source : Reddit