Aristocrat to cut 1,000 jobs
Global slot machine giant furloughs staff as part of efforts to ensure it can survive the Coronavirus outbreak.
Australia.- Global slot machine giant Aristocrat Leisure Limited has announced that 1,000 jobs will be cut in due to the outbreak of Covid-19.
Aristocrat has confirmed that a portion of those workers will be Australia-based staff, but the majority of those that will be stood down are based in the US.
In March, the company admitted it was looking into cost-cutting measures to ensure it could survive the Coronavirus crisis.
Alongside the reduction in employee numbers, Aristocrat will also introduce temporary pay cuts for 1,500 staff members until September.
Pay cuts will range from 10 per cent to 20 per cent, but CEO and Managing Director Trevor Croker will take a 30 per cent reduction in his salary.
These cuts will save the company an estimate of AU$100million for the remainder of the financial year ending September 30 2020.
In a statement, Croker said: “We are very sensitive to the impact of necessary cost reduction measures on our people, and will work hard to support them through this difficult time consistent with our ‘people first’ approach.
“We believe that these changes will help maximise opportunities for Aristocrat’s dedicated and talented people over the longer term.
“We will continue to do everything we can to restore momentum in our land-based business as quickly as possible recognising the importance of continuing to develop and deliver game content during this period.”
He added: “These changes, and other prudent steps we are taking as part of our Covid-19 response, will deliver important operational and financial flexibility, focus and efficiency through this period of uncertainty.
“We are highly focused on protecting and leveraging our strategic advantages, including industry-leading design and development and effective user acquisition investment, which Aristocrat will continue to prioritise.
“In land-based, we will ensure the business is ideally poised to partner our customers and grow as conditions improve, while in digital we remain fully focused on executing our growth plans and maximising opportunities at this time.”