this post was submitted on 07 Apr 2024
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Larian publishing director on mass layoffs: 'None of these companies are at risk of going bankrupt. They were just at risk of pissing off the shareholders' (www.pcgamer.com)
submitted 7 months ago by nanoUFO@sh.itjust.works to c/games@sh.itjust.works
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[–] remotelove@lemmy.ca 13 points 7 months ago (1 children)

It is oversimplified, so I wouldn't look too deep into it.

Shareholders in the class that I am referring to have probably never really worked a day in their life. They play with institutional cash or went straight to an office after graduating from college paid for with daddy's petty cash.

While looking at the raw numbers of profit/loss has its purpose in business, it's never the full story of what drives efficiency on the front lines. The function and importance of an individual gets lost in a spreadsheet.

My main point is that I am a believer that someone who drives decisions should understand fully what they are decisioning. A secondary point is that some people need to understand that humans aren't numbers. Hiring and firing is part of business, but both should be done with much more precision.

All jobs aren't the same, I get it. Some companies have work that ebbs and flows. In those cases, the workers should understand this. Some jobs are seasonal. There are a million types of "gig" style jobs out there, and that is also cool.

However, if a company hires people as an investment people need to be treated as such. Having a shareholder whine because he only made $1MM instead of $1.5MM and then demanding layoffs is fucking stupid. That investor needs a reality check on how hard it can be to attract and maintain real talent pools. That fuck needs to see what it is like to work around real, field experts for a day and see what it took to get his measley $1MM payoff.

There is probably no way I could call out all the conditionals or sub-points I have about this subject so I summarized it with my first comment.

[–] mnemonicmonkeys@sh.itjust.works 1 points 7 months ago (1 children)

That investor needs a reality check on how hard it can be to attract and maintain real talent pools.

Unfortunately investors in publuc stock don't give a shit about lingterm investment. They just want stock value to go up this quarter so they can sell their shares at a profit and move on to the next stock

[–] remotelove@lemmy.ca 2 points 7 months ago

True, but those types of investors don't matter so much. Institutional investors and/or holders of preferred shares are the ones that have the power to push a company around. Much of that depends on how a company is structured, but in general, odds are usually against a public investor.