Evolution, a prominent player in the global gaming and entertainment sector, is grappling with significant challenges following a strike by its Georgia division workers. Earlier this year, less than 500 employees were set to strike due to complaints about poor working conditions, management issues, and inadequate pay. However, the situation has escalated, leading to broader consequences for the company.
Last month, Evolution initially projected minimal disruption to its Georgia studio operations from the strike. Despite this, as worker protests intensified and issues with a local trade union emerged, the company decided to implement layoffs. Evolution has begun downsizing, with plans to reduce its Georgia workforce by approximately 1,000 roles. The company has characterized this decision as both “difficult and sad.”
“The first stage of the assessment is completed and as a result, Evolution is starting the downsizing process to reduce the operational workforce of the Georgian studio by 1000 roles,” reads a statement released by Evolution.
Strike Escalates and Operational Impact
While Evolution initially estimated that about 500 workers would participate in the strike, the actual number swelled to around 2,000, affecting a significant portion of the morning shift. This escalation has had a notable impact on the company’s operations. Evolution attributed the decision to lay off employees to the “unjust activities initiated by one of the local trade unions,” which have caused substantial operational damage.
“The decision to reduce the workforce of Evolution Studio in Georgia has been made due to the ongoing damage caused by Evolution’s business partners as a result of the unlawful blockade, and unfortunately, this decision is final,” stated Evolution.
In response to the crisis, Evolution has started relocating “most of the specific tables of business partners to other countries.” The company has already initiated this process. Evolution also warned that unless the situation improves, further restrictions and potential layoffs could follow.
Despite the challenges, Evolution acknowledged its contributions in Georgia, where it has provided “tens of thousands of jobs” to inexperienced individuals, helping many start their careers. Moving forward, the company is committed to addressing the issues and enhancing its operations to prevent further disruptions.
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