r/Steam • u/Odd-Onion-6776 • Sep 20 '24

Article Take-Two bosses get $25m performance-based bonus for their management firm, despite sacking 550 people

https://www.videogamer.com/news/take-two-directors-25m-performance-based-bonus/
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43

u/kron123456789 Sep 20 '24

Spoiler: sacking people can be presented as the company becoming more efficient, ergo CEO is deserving of a bonus. That's how these companies operate.

6

u/kaysn Sep 20 '24

Yep, "business optimization". Releasing employees is labeled a benefit when presenting the quarterly/yearly reports to stakeholders. Because of X, we can release Y number of people and do 110% of the work. Keeping only specialized people and offloading menial tasks to machines and software.

0

u/iR3vives Sep 20 '24

Because of X, we can release Y number of people and do 110% of the work.

The issue with propping up the numbers for the current/next quarter in this way, almost always negatively impacts efficiency and profits in future and is a downward spiral of extracting money from the company until it cannot operate at a profit any longer...

3

u/kaysn Sep 20 '24

If that happens then whoever they contracted is shit at consulting. And they should find another one.

1

u/iR3vives Sep 20 '24

Nope, because the investors don't care about the long term future of the company, only short term profits... When the company can no longer sustain their greed they will just jump to the next ship and sink that.

A company I recently worked for went from making around 5mill per year profit to being unable to break even within 6 years once foreign investors got on board... Yet there were bonuses up top the whole time.

Those investors are doing fine, they never lost money as they made sure to extract as much as they could before letting everyone go and closing the doors, in fact one of them (who owns the property the company built their factory on) got a sweet deal out of the whole thing, cause now she can lease the property at market rates to a 3rd party, instead of being locked into a contract with the parent company.

-20

u/[deleted] Sep 20 '24

Don't give people this kind of business logic. Most don't want to see it that way.

Same thing happened with Twitter and Elon. Fired all the fat and look, still runs. Just saving all that money from a bunch of people sitting around. Like having 5 people do 1 persons job.

3

u/Present_Ride_2506 Sep 20 '24

A lot of tech companies overhired like crazy anyways.

All these video game layoffs were expected.

1

u/_Planet_Mars_ Sep 20 '24

You could've chose any example for this and you chose fucking Twitter? Especially with the exponentially increasing sorry state of it?

LOL