Entain may be looking into further reducing its workforce, citing the impact of mounting UK tax pressure, with 400 positions now potentially on the chopping block.
The company could let go of up to 400 customer care roles to mitigate the immediate impact of tax hikes, as it seeks to strengthen its operational position.
In a statement shared with the media, Entain CEO Stella David noted that the decision was fully motivated by the company’s determination to remain competitive, financially stable, and future-proofed.
"The proposed changes are being made to ensure our business remains competitive, financially resilient, and well positioned for the future as our sector faces an increasingly challenging operating environment. This decision has not been made lightly, and our immediate priority is to support those of our colleagues who may be impacted through this transition," David explained.
Appointed as permanent CEO in April, David has had difficult decisions to make. Entain has confirmed it has begun a consultation process that could lead to the removal of up to 400 of its 2,000 customer care roles. The company is hoping to also reduce duplication as well as enhance the customer experience.
If Entain proceeds with its plan and reduces its customer care staff, this measure would affect 11 locations around the world, including some of its main offices in Gibraltar and the United Kingdom.
The Betting and Gaming Council’s CEO, Grainne Hurst, also commented on the proposd job cuts, citing it as an example of how increasing gambling tax in the United Kingdom has led to more pressure on the industry and real-world consequences within the regulated sector.
This, in turn, is affecting hundreds of people and their families, who now face uncertainty over their livelihoods.
"Businesses are already cutting jobs, closing betting shops and reducing investment. Ministers should be in no doubt: further tax rises will put more jobs at risk, force more closures and weaken the regulated sector, while handing an advantage to the unsafe, unregulated illegal gambling market," she noted.
David also sent a letter to Andy Burnham, the Prime Minister, ahead of the Autumn Budget, warning about the potential consequences of the proposal to hike Machine Games Duty, which would further put constraints on the business and lead to more difficult decisions, including the shuttering of betting shops.
About a month ago, news surfaced that Entain is also planning to slash 500 jobs. This could be part of the recently-announced reduction of customer care positions, however.
Image credit: Unsplash.com
