Hasbro Layoffs: 1,100 jobs being cut, second reduction this year

Grappling with an ongoing slump in toy sales, Hasbro is cutting nearly 20 per cent of its total workforce, or 1,100 jobs.

The reduction marks the toy maker’s second mass layoff of 2023. Earlier this year, the company eliminated around 800 positions.

What’s happening at Hasbro?

In a memo to staff that was obtained by news outlets, including CNBC, CEO Chris Cocks said the challenges that Hasbro has been navigating through the first nine months of the year “have continued into Holiday and are likely to persist into 2024.”

“To position Hasbro for growth, we must first make sure our foundation is solid and profitable,” Cocks said in the Dec. 11 memo.

“To do that, we need to modernize our organization and get even leaner. While we see workforce reductions as a last resort, given the state of our business, it’s a lever we must pull to keep Hasbro healthy.”

He added that impacted staff have been notified “or will be informed in the next 24 hours, although the timings will vary by country, in line with local rules and subject to employee consultations where required.”

According to a company fact sheet, the maker of Transformers and My Little Pony toys employs a total workforce of approximately 6,300 people.

Hasbro layoffs in Canada

It remains unclear if any Canadian employees at Hasbro are affected by the latest round of layoffs.

The company has more than 170 workers in the country, according to its LinkedIn page.

Severance offers for Hasbro employees

While Cocks didn’t specify how much severance Hasbro will be providing laid-off staff, Canadian workers who are let go could be owed as much as 24 months’ pay.

In Canada, non-unionized employees at the toy maker are entitled to a full severance package when they lose their jobs due to downsizing, corporate restructuring, or the closure of the business.

This includes non-unionized individuals working full-time, part-time, or hourly in Ontario, Alberta, and B.C.

The amount of compensation you are entitled to is calculated using a variety of factors, including age, length of service, position at the company, and your ability to find new work.

WATCH: Employment lawyer Lior Samfiru explains why you are still owed severance if you have been downsized on an episode of the Employment Law Show.

Before you accept any severance offer, have an experienced employment lawyer at Samfiru Tumarkin LLP review it and your employment contract.

If you don’t receive the correct amount, which happens often, you have been wrongfully dismissed and should take legal action.

Non-unionized employees in Canada have up to two years from the date of their dismissal to pursue proper severance pay.

LEARN MORE
• Rights to severance for provincially regulated employees
• Severance packages during mass layoffs
• Severance entitlements in a recession

Major layoffs continue

The latest round of job cuts at Hasbro come amid a flurry of layoffs in 2023.

Other major employers, including Nike, Spotify, RBC, TD Bank, Broadcom, Amazon, AbCellera, Unity, Canadian Tire, PwC, Maersk, and Nokia, have significantly scaled back their staffing levels as they continue to navigate challenging economic conditions.

SEE ALSO
• Firm launches $130M class action against Shopify for breach of contract
• Panera laying off 17% of corporate staff ahead of IPO
• Where are layoffs happening in Canada?

Lost your job? Talk to an employment lawyer

If you have been fired or let go for any reason, contact the experienced employment law team at Samfiru Tumarkin LLP.

Our lawyers in Ontario, Alberta, and B.C. have successfully represented tens of thousands of non-unionized individuals.

In addition to severance package negotiations, we can assist you on a broad range of employment matters, including:

If you are a non-unionized employee who needs help with a workplace issue, contact us or call 1-855-821-5900 to get the advice you need and the compensation you deserve.