臺北新聞熱綫

(AsiaGameHub) –   Slot machine developer International Game Technology (IGT) is conducting global layoffs of 700 employees, which constitutes roughly 10% of the company’s workforce. 

CEO Hector Fernandez notified employees of the job reductions via a letter sent on Monday. Since taking on his position in December of last year, Fernandez has been assessing the company’s workforce. 

“We looked into our areas of focus, our operational methods, and how our structure aligns with our strategy. As part of this evaluation, we were compelled to make tough choices regarding our organizational setup, and this process has resulted in a challenging yet essential step,” he wrote.

The layoffs are not tied to employee performance; instead, they aim to streamline operations following last year’s merger with Everi. The merger was part of a takeover by New York-based firm Apollo, which agreed to acquire both companies for $6.3 billion in 2024. 

Fernandez was appointed to lead the newly formed company and added, “The changes we are announcing today are part of our endeavor to simplify our structure, eliminate redundancies, and allow us to operate with increased clarity and speed.”

Plan Devised During Year of Waiting

Fernandez noted that severance packages are being offered to affected employees. He added, “For those departing IGT as a result of this action, we are dedicated to providing severance pay, outplacement assistance, and transition resources.”

Prior to assuming his CEO role, he was required to wait a year due to a non-compete agreement from his former position as CEO of Aristocrat. 

During his year away, he stated that he developed a business plan centered on the 5 C’s: culture, capabilities, content, commercialization, and cash-flow generation.

“I crafted the plan, strategy, and execution approach for this role. I couldn’t engage in competition, but I could apply my intellect. That’s exactly what I did,” said Fernandez. 

Company Moves to Next Chapter

Fernandez encouraged remaining employees to unite and push the company forward. 

“What is crucial now is how we progress collectively: supporting one another, concentrating on our priorities, and continuing the work that will shape the next chapter of our company. We joined forces to build an enterprise capable of leading in a fast-evolving industry, and I remain confident in that opportunity and in the strength of our team,” he told staff. 

The layoffs were first reported by the Las Vegas Review-Journal, though the outlet did not specify how many of the job losses are in Nevada. 

IGT operates two facilities in the state, including a Las Vegas location near Buffalo Drive and Sunset Road. The company moved its headquarters to Vegas last year following the merger. 

The company also has employees in Texas, California, Oklahoma, and New Jersey. Internationally, it maintains a presence in Europe, Australia, India, and Latin America. 

In his letter, Fernandez did not specify the locations of the job cuts. When announcing the deal to acquire IGT and Everi, Dave Cohen, a partner at Apollo, stated, “We are eager to collaborate with all individuals at IGT Gaming and Everi to advance the combined enterprise.”