News: As the UK retailer GAME enters administration, over 2,100 employees lose their jobs.
With the forecast bleak, it came as little suprise to many today when PwC, the administrators handling the ongoing GAME Group crisis, confirmed that 2,104 jobs have been cut as 277 stores across the UK were shut down today. The jobs cuts, 15 of which affected head office personnel, has dramatically cut the presence of the retailer on the high street, leaving 333 stores open for trade, but rendering the majority of their online traffic and loyalty card systems inoperable.
‘Our priority is to continue trading the business as normal while we continue to pursue a sale, ‘administrator Mike Jervis explained, via GamesIndustry.biz. ‘The recent job losses are regrettable but will place the company in a stronger position while we explore opportunities to conclude a sale. My team and I will be doing all we can to help the affected employees at this difficult time.’
Speaking with the BBC, Jervis went on to explain that the blow would be softened somewhat by all staff recieving pay due for March, despite the cuts. Nevertheless, remaining pragmatic, he stated that although the GAME Group had a significant presence, it had over-extended itself, with store numbers simply being ‘too many to make it viable’ as a profitable business.
As for the consumers, PwC assures those with cash or credit tied up in GAME’s gift cards that the system’s deactivation was a temporary measure, and that ‘We’re hoping that that gets brought back online once we sell the business, hopefully in a couple of days.’