CA Video Game Publisher to Lay Off 31 in MN in Dec.
Video game publisher Activision Publishing, Inc., plans to lay off 31 Minnesota employees in late December.
Santa Monica, California-based Activision revealed the planned layoffs in a notification letter submitted to the Minnesota Department of Employment and Economic Development.
The letter indicated that the company is restructuring, and the 31 affected employees will be laid off “permanently” as of December 28. Some of them work at Activision’s Bloomington office, located at 5600 West 83rd Street, and others work in the Eden Prairie office at 7800 Equitable Drive.
According to the letter, 118 employees will remain at the two offices following the layoffs. The job cuts represent about 20 percent of Activision’s current Minnesota work force.
Activision’s local division releases games based on licenses obtained from third parties. For example, Activision created a game called Cabela’s Hunting Expeditions after obtaining a license from hunting, fishing, camping, and outdoor gear retailer Cabela’s.
“In 2013, we expect that our Minneapolis division will release fewer games based on third-party licenses than we released in 2012,” company spokeswoman Maryanne Lataif told Twin Cities Business. “As a result, we are realigning the structure of the Minneapolis division to better reflect our slate and the market opportunities.”
Activision has had a presence in Minnesota since 1998, although local workers don’t actually develop the games. They work on the company’s publishing side and handle functions including marketing, human resources, and finance.
Activision’s parent company, Activision Blizzard, Inc., is a public company that reported $4.8 billion in 2011 revenue. It has created and published a number of blockbuster games. Among its major franchises: Call of Duty, World of Warcraft, and Skylanders.