Evolution’s drastic move. The company will lay off 1,000 employees
Evolution is cutting 1,000 jobs in Georgia as a direct result of a prolonged strike that has crippled operations and shaken customer confidence.
Wave of group layoffs at Evolution
The company attributes the job cuts to the strike’s impact on its ability to maintain operations and meet customer expectations. The industrial action, which has persisted for over a month, has led to significant operational challenges, including blocked access to facilities and the forced closure of its Tbilisi studios.
The layoffs follow four weeks of industrial action initiated by a local union, which Evolution claims has significantly hampered its operations. The company emphasized that this decision was made with great reluctance but was deemed necessary due to the substantial disruption caused by the strike. Evolution noted that the strike has not only affected its operational capacity in Georgia but has also damaged its reputation with customers, many of whom have chosen to withdraw their operations from the country.
As part of its restructuring efforts, Evolution plans to relocate many of its customer-specific gaming tables to other studios worldwide. The workforce reduction and table relocations have already commenced, with the company warning that further cuts could be implemented if the situation does not improve. Evolution is currently assessing the full impact of the strike to determine any additional measures that may be required.
Background and escalation of the strike
The strike at Evolution’s Tbilisi facilities reportedly began in mid-July, following allegations of poor working conditions. Initial reports indicated that around 500 workers were involved, but the situation escalated by early August when approximately 2,000 employees from the morning shift failed to report to work, further exacerbating the company’s operational difficulties. The union representing the striking workers has claimed that up to 5,000 of Evolution Georgia’s 8,000 employees have supported the strike.
Evolution’s handling of the situation has drawn significant criticism on social media, with both employees and the public expressing dissatisfaction with the company’s approach. Many commentators have accused Evolution of failing to address long-standing grievances related to unfair treatment and poor working conditions. Calls for the company to engage in meaningful negotiations with employees have been widespread, with some urging Evolution’s management to personally apologize to the affected workers.
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Company’s stance on the situation
In response to the criticism, Evolution reiterated its commitment to respecting workers’ rights to freedom of association and collective bargaining, while also stressing the importance of adhering to the law.
“We have always done our very best to create a good and respectful work environment for our employees, with fair pay and development opportunities. There are things we could have done better, and we are committed to continuing to work for improvements also going forward. It is with deep regret that the actions of a smaller number of individuals brings these consequences for so many,” the company said.
The company expressed regret over the impact of the strike but emphasized that the layoffs were an unavoidable consequence of the significant damage caused by the industrial action. Evolution also made it clear that the decision to reduce its workforce in Georgia is final and will not be reversed.
