NetEnt Cuts Hundreds of Jobs Ahead of Evolution Merger
One of the biggest iGaming suppliers, NetEnt, has just cut hundreds of jobs in its Malta live casino. That’s not a surprise. The move was already announced previously when the popular studio merged with the biggest live casino providers Evolution Gaming back in June 2020.
NetEnt’s cut employees were sent home on Tuesday and told to wait further instructions. According to representatives from NetEnt’s new owner, Evolution Gaming, the Qormi live studio will be shutting down and the employees left jobless.
There’s still no info on the precise number of employees that will be made redundant. Unofficial reports have that number at a dozen, others are talking hundreds. The government is trying to help the workers on their feet following the takeover, but right now, the live dealer employees are left in the dust.
Blame it on the Restructuring
The massive merger was announced in June 2020. It was a record-breaking deal worth around $2.1 billion. It showed just how powerful Evolution Gaming has become, and its acquisition of NetEnt is a move that has shaken the industry to its core.
NetEnt is a leading slot studio with dozens of hits behind its name. Some of the most popular slots ever were developed by the Swedish company, including Starburst and Gonzo’s Quest. The company joined the live casino industry a few years back, with a strong game line-up and noted mobile design.
It took the attention of Evolution Gaming, which acted quickly to turn NetEnt from a competitor to an asset. The deal was approved by the UK Competition and Markets Authority last month, allowing the companies to merge.
NetEnt has over 1,000 employees around the world. Its Qormi studio on Malta was one of its kind, featuring advanced technologies and hundreds of employees. All those people are now laid off, with only the Maltese government to help them.
According to some reporters, NetEnt is seeing the human price of a buyout, leaving hundreds of people without jobs in the face of a pandemic. While the Maltese government has promised to help the workers, it remains to be seen in which way.
Nearly 500 People Will Be Laid Off
According to estimates, Evolution Gaming will lay off 300-500 of NetEnt’s employees. The number was confirmed through unofficial sources. The move happened instantly within 10 minutes of the first meeting of NetEnt and its new parent company. It outlines the harsh business climate and the harsh world we live in.
Evolution Gaming has studios all around the globe including Malta. That’s why it doesn’t need the Qormi studio. The employees are redundant as well. The company has hundreds of people on its payroll that bring their expertise to the high-quality games.
Meanwhile, Malta’s economy minister has promised to assist the laid off NetEnt employees ASAP. The ministry has already entered discussions with the relevant authorities to help these people find respectable jobs again.
A matchmaking support services has also been made available to them and will hopefully help at least a portion of the group find new jobs soon.