Hasbro, the US toy company known for the popular game, Monopoly, the fantasy game, Dungeons & Dragons, the Transformers action figures, and even Play-Doh, is letting go of 20 per cent of its global workforce. That means, about 1,100 jobs will be axed. The company had about 6,490 people in its team, globally, at the end of 2022.
The reason for the layoffs is the falling demand. The firm has been struggling for the past several quarters and does not expect demand to grow much next year either. That is why it has resort to this extreme step of downsizing, for the future stability of the company.
During the pandemic, the company ‘s sales had gone up as the demand for toys has surged. That was because people were confined to their homes and parents spent on toys to keep their children engaged.
Chris Cocks, CEO, Hasbro, has reportedly been apologetic for announcing the layoff at a time when people are looking forward to Christmas.
The layoffs will be executed over a period of a year and a half to two years.
The toy firm had already axed about 800 jobs in a bid to cut costs and save up to $300m (£238m). In January, when it revealed its intention to cut some jobs, the company had admitted that while its digital gaming business was doing well, the demand for its traditional toys had fallen.
