The announcement was posted in a recent United States SEC (Securities and Exchange Commission) filing, where the firm stated that the move is a bid to reduce operating costs to achieve profitability.
Bally’s stated that the redundancies will cost it an estimated 10 to 15 million dollars in severance payments, which is expected to incur in 2023’s first quarter, although these dates and numbers are only approximations that are subject to changes in order to comply with local state laws and regulations.
Furthermore, the company’s chief executive officer, Lee Fenton, wrote a letter directed at the firm’s employees, where he elaborated on the decision a bit, stating that despite its efforts, the business was not able to achieve all of its goals in 2022. He further commented that it is taking longer than expected to reap the benefits of the company’s investments in the North American market.
Another noteworthy comment in the CEO’s letter was about the firm’s hiring spree during the pandemic. Its effects on the online gambling industry drove Bally’s to hire a lot of new talent, which as we can see today, lead to the company over-hiring in some places.