{"id":32484,"date":"2023-09-29T00:32:22","date_gmt":"2023-09-29T04:32:22","guid":{"rendered":"https:\/\/esportbet.com\/?p=32484"},"modified":"2023-09-29T00:32:22","modified_gmt":"2023-09-29T04:32:22","slug":"epic-games-set-to-layoff-over-800-employees-due-to-financial-difficulties","status":"publish","type":"post","link":"https:\/\/esportbet.com\/epic-games-set-to-layoff-over-800-employees-due-to-financial-difficulties\/","title":{"rendered":"Epic Games set to layoff over 800 employees due to financial difficulties"},"content":{"rendered":"<p>Epic Games is undergoing significant restructuring, resulting in layoffs affecting approximately 830 employees, as confirmed by an email from CEO Tim Sweeney posted on the company&#8217;s website. <\/p>\n<p>This move accounts for roughly 16% of the workforce. Of these job cuts, around 250 employees are connected to Epic&#8217;s divestiture of Bandcamp and SuperAwesome.<\/p>\n<p>The decision to reduce the workforce comes as a response to Epic&#8217;s financial situation. <\/p>\n<p>Sweeney acknowledged that the company has been operating at a deficit, attributing it to their investments in the development of the Epic ecosystem and the growth of <a href=\"https:\/\/esportbet.com\/fortnite-battle-royale\/\" title=\"Fortnite betting guide\">Fortnite<\/a> as a metaverse-inspired platform for content creators.<\/p>\n<p>While Fortnite is seeing renewed growth, it relies heavily on creator content with a substantial revenue-sharing model, which has lower profit margins compared to the early days when Fortnite Battle Royale funded their expansion. <\/p>\n<p>This shift in business model necessitated a major structural change in the company&#8217;s financial approach.<\/p>\n<p>Sweeney emphasized that Epic had been making continuous efforts to trim costs globally, such as freezing new hiring and reducing expenses in areas like marketing and events. <\/p>\n<p>However, these efforts fell short of achieving financial sustainability, prompting the layoffs as a necessary step to stabilize the company&#8217;s finances.<\/p>\n<p>Employees affected by the layoffs will receive a severance package consisting of six months&#8217; base pay and six months of Epic-paid healthcare, applicable in the US, Canada, and Brazil. <\/p>\n<p>Additionally, Epic is offering an accelerated stock option vesting schedule until the end of 2024, granting two extra years for option exercise. <\/p>\n<p>In the US, they are also allowing unearned profit sharing from employees&#8217; 401k accounts to vest. <\/p>\n<p>The company will provide support for career transition services and visa-related matters where feasible.<\/p>\n<p>Epic has asserted that these layoffs mark the conclusion of their restructuring efforts and will bring financial stability to the company moving forward. <\/p>\n<p>This decision coincides with their ongoing legal battle with Apple over antitrust issues and a recent announcement that Fortnite&#8217;s in-game currency, V-Bucks, will see a price increase due to inflation.<\/p>\n<p><a href=\"https:\/\/esportbet.com\/news\/\" class=\"contentLinkBtn\">More esports news<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Epic Games is undergoing significant restructuring, resulting in layoffs affecting approximately 830 employees.<\/p>\n","protected":false},"author":15,"featured_media":19931,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ghostkit_customizer_options":"","ghostkit_custom_css":"","ghostkit_custom_js_head":"","ghostkit_custom_js_foot":"","ghostkit_typography":"","wds_primary_category":0,"footnotes":""},"categories":[3],"tags":[3411,345,87,3412,3410],"class_list":["post-32484","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-bandcamp","tag-epic-games","tag-fortnite","tag-superawesome","tag-tim-sweeney"],"_links":{"self":[{"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/posts\/32484"}],"collection":[{"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/comments?post=32484"}],"version-history":[{"count":3,"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/posts\/32484\/revisions"}],"predecessor-version":[{"id":32486,"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/posts\/32484\/revisions\/32486"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/media\/19931"}],"wp:attachment":[{"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/media?parent=32484"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/categories?post=32484"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/esportbet.com\/wp-json\/wp\/v2\/tags?post=32484"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}