layoffs?

gribble · Dec 3, 2008

First, I just want to give my condolences and best wishes to those laid off.

Zaruthustran said:
But let's not compound the suckiness by drawing sensational conclusions from what is simply a normal business practice.

Second, I have to disagree with this one. Mass hiring/layoff of staff is not normal business practice by any stretch of the imagination. A well run business will have a good handle on both it's current and future work, and maintain a level of staff which is sufficient to meet that work, given normal staff turnover. Temporary spikes should (for the most part) be able to be met by tightening the belt in other areas, dipping into cash reserves, or utilising temporary (contract) staff. Sure, unexpected events can happen (although in the better run companies even a lot of these "unexpected" events can be forecast or at least catered for), but IMO any company that regularly goes through these boom and bust cycles is poorly run.

Does this necessarily mean doom and gloom? No, but lets not put our heads in the sand and pretend this is just part of the normal day-to-day activities of a well run company... at the very least WotC seems to have some very shoddy senior management.

RefinedBean · Dec 3, 2008

Just a quick note: Although layoffs always suck at this time of year, they're definitely nothing new for WotC or, well, the rest of America. Budgets turn over in December/January for many companies, thus necessitating layoffs and other cost-cutting procedures.

We also don't know whether or not WotC is giving their former staff full holiday bonuses.

And as Umbran wisely mentioned, the economy is a big factor. Everyone's hurting, and unfortunately bad things happen to good people.

Thankfully, gaming as an industry is tight-knit. We help our own how we can. Plenty of other people are getting laid off that aren't receiving comfort and kind words from thousands of fans worldwide.

Not calling anyone out or anything, but let's all keep perspective, hrm?

FreeXenon · Dec 3, 2008

Wow! Totally teh Suxors!

I am surprised to see Dave and John go. The others I am not familiar with. I wish all of you good luck and hopefully you will still have a great holiday.

RefinedBean · Dec 3, 2008

gribble said:
Does this necessarily mean doom and gloom? No, but lets not put our heads in the sand and pretend this is just part of the normal day-to-day activities of a well run company... at the very least WotC seems to have some very shoddy senior management.

It's not "putting our heads in the sand." It's saying that since we don't work there and have no clue what's been going on with the company financially or otherwise, we shouldn't make any conclusions that we can't back up.

Conclusions like "...at the very least WotC seems to have some very shoddy senior management." This statement doesn't help anyone, and just fuels a fire that shouldn't have been lit in the first place.

Fifth Element · Dec 3, 2008

gribble said:
Mass hiring/layoff of staff is not normal business practice by any stretch of the imagination. A well run business will have a good handle on both it's current and future work, and maintain a level of staff which is sufficient to meet that work, given normal staff turnover.

It's not necessarily that simple. To use an extreme example, I'm sure H&R Block hires a pile of people in December/January, and lays off a pile of people in May. Every year. Some businesses do not need a constant staffing level.

Developing a new edition requires far more work than a regular publishing schedule. Layoffs are de rigueur shortly after a new edition release, because staff was built up beforehand to develop the new edition.

I just think it's simplistic to suggest that a "well-run business" should not have layoffs. It's more complicated than that.

gribble · Dec 3, 2008

RefinedBean said:
This statement doesn't help anyone, and just fuels a fire that shouldn't have been lit in the first place.

Sorry, not meaning to inflame anything. I just wanted to point out that saying "it's normal business practice, and to be expected given the economic climate" doesn't really excuse it as far as I'm concerned.

Maybe I'll turn it around and put it another way: I'm glad I work for a well run company, with excellent senior management who saw the financial crisis coming and tightened their belts early. Now, despite the downturn, it's unlikely we're going to have to make any layoffs (and, in fact, we've been able to make a big christmas donation to a couple of local children's hospitals). My best wishes go out to those who aren't so fortunate.

mlund · Dec 3, 2008

Here's just hoping the folks that have been let go received good severance packages. That makes all the difference between a brutal firing for Christmas and getting to spend the holidays with your family while making a job transition.

I'm not really shocked though. Changes need to be in place with the first quarter of 2009 starts. Businesses, products, and workers compete earnestly to continue to advance the marketplace. The only way that competition is truly earnest is if there are lay-offs, terminations of product lines, and even failures of entire companies. That's how change that leads to long-term progress usually happens. It shouldn't be personal, except in helping the individual employee make a smooth transition into the next stage of his or her career.

- Marty Lund

RefinedBean · Dec 3, 2008

gribble said:
Sorry, not meaning to inflame anything. I just wanted to point out that saying "it's normal business practice, and to be expected given the economic climate" doesn't really excuse it as far as I'm concerned.

's cool, buddy. It would be nice to know the full story, and I'm sure we'll have a better idea of what went down after a few months. As Fifth Element mentioned, though, sometimes companies have to do what they must.

Also, good on your company for the charitable donations and belt-tightening.

gribble · Dec 3, 2008

Fifth Element said:
I just think it's simplistic to suggest that a "well-run business" should not have layoffs. It's more complicated than that.

Actually, that's exactly my point. I'm pretty sure that H&R Block don't hire and then lay off a large number of permanent staff, if that's their business model. They'd use seasonal or short-term staff for their busy period (if they're sensible).

Trust me, I understand - I work in computer software, and in our business it's par for the course to have big spikes due to product releases. A well run business will meet those spikes by using contract staff. You could say it's all in semantics, but at least with contract staff there is an understanding by both parties that the employment is only short term (often only for a specific project).

Fifth Element · Dec 3, 2008

gribble said:
I'm glad I work for a well run company, with excellent senior management who saw the financial crisis coming and tightened their belts early. Now, despite the downturn, it's unlikely we're going to have to make any layoffs (and, in fact, we've been able to make a big christmas donation to a couple of local children's hospitals).

What you're missing is that these layoffs are likely not 100% due to the economic conditions. Historically, new edition releases have been followed by layoffs. They are probably greater due to the economy, but it's very simplistic to assume these layoffs could have been avoided if the company was "well run".