IGT Announces Layoffs of 700 Employees as Part of Restructuring Effort

(AsiaGameHub) –   Gaming manufacturer International Game Technology (IGT) is cutting 700 positions worldwide, which accounts for approximately 10 percent of its total staff.

CEO Hector Fernandez issued a memo to staff on Monday regarding the workforce reductions. Fernandez has been assessing the company’s personnel requirements since he stepped into his role last December.

“We evaluated our strategic focus, our operational processes, and how our organizational framework supports our goals. This review required us to make difficult choices about our structure, leading to this challenging but necessary action,” he stated.

The redundancies are not based on employee performance but are designed to optimize the business following its merger with Everi last year. The consolidation followed an acquisition by the New York-based Apollo group, which finalized a $6.3 billion deal for both firms in 2024.

Fernandez, who was tapped to head the combined entity, added, “The modifications we are sharing today are intended to simplify our organizational chart, remove overlapping roles, and permit us to function with more transparency and efficiency.”

Strategy Formed During Transition Period

Fernandez noted that severance benefits are being provided to those impacted by the layoffs. He said, “For employees exiting IGT through this process, we are committed to offering severance pay, outplacement services, and resources for their transition.”

Before assuming the CEO position, he was required to wait a year due to a non-compete agreement stemming from his time as CEO of Aristocrat.

During that year-long break, he explained that he created a business roadmap based on the “5 C’s”—culture, capabilities, content, commercialization, and cash-flow generation.

“I drafted the plan, the strategy, and the rollout for this role. I was unable to compete, but I could still apply my strategic thinking. That is what I focused on,” Fernandez said.

Moving Into a New Era

Fernandez called on the remaining employees to work together to advance the company.

“Our focus now is on how we proceed as a team: by helping one another, staying dedicated to our objectives, and continuing the work that will define our next phase. We came together to create an industry leader, and I have full confidence in that vision and our staff,” he told the workforce.

The job cuts were initially reported by the Las Vegas Review-Journal, though the publication could not determine the specific number of layoffs occurring in Nevada.

IGT has two locations in the state, including a Las Vegas facility at Buffalo Drive and Sunset Road. The company moved its main headquarters to Las Vegas last year following the merger.

The organization also maintains offices in Texas, California, Oklahoma, and New Jersey. Globally, it has operations in Europe, Australia, India, and Latin America.

In his memo, Fernandez did not clarify which regions were most affected by the cuts. When the deal to acquire IGT and Everi was first made public, Dave Cohen, a partner at Apollo, said, “We are excited to partner with the staff at IGT Gaming and Everi to move the combined business forward.”