PartyGaming Losing Employees

September 13, 2008

With the passage of the Unlawful Internet Gambling Enforcement Act, or UIGEA, many online gambling firms have been forced to either shut their doors completely or cut back drastically in staffing and expenses. As the months have gone on, the UIGEA, in addition to an ever increasingly worse economy have forced many stronger companies to look for ways of not closing down, but restructuring instead.

PartyGaming is simply the latest company to feel these cutbacks. They are looking to start making some changes in their staff, and many are wondering who will be let go and who will stay. They have 320 stafffers based out of their Gibraltar office and some are going to have to go.

There are preliminary reports that say that as many as a third of their employees are going to be let go from the online gambling group. With the added pressure of more online casinos fighting for fewer customers, they simply cannot afford to keep as many people on staff as they have in the past.

Once the UIGEA was passed, PartyGaming pulled out of the US market, and set their sites on other companies to try and make up for the difference in income. However, the problem was that everyone else is seeking the same areas of business. Losing the US was a major loss for the online gambling industry and with less business out there because of it � more companies are competing for what little is left.

This means that many of them like Party Gaming, have to now re-evaluate how they are running their business and how they might be able to cut back on expenses. Unfortunately, cutting employees is one way of doing that.

 

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