21 April 2023
The Management Board of Ten Square Games S.A. with its registered office in Wrocław, with reference to the current report No. 11/2023 of April 17, 2023, informs about the completion by the Company of the consultation process on the group layoffs with representatives of the Company’s employees, in accordance with the provisions of the Act of March 13, 2003 on special the rules for terminating employment relationships with employees for reasons not related to employees and about the adoption by the Company’s Management Board of a resolution on group layoffs in the Company on the terms set out in the regulations during the consultation process.
The reduction of employment, including group layoffs, will be carried out by the end of April 2023 and will cover 110 people working for the Company. The Company terminated contracts with 105 persons, including 43 employed on the basis of the employment contracts, and decided not to extend contracts with 5 persons.
As a result of the consultations, it was agreed that the laid-off employees will receive a broader offer of support than that resulting from the provisions of law applicable to the Company. Employees will also be covered by protective measures, including i.a. psychological support or job search support. The Company, in accordance with the legal requirements, will provide relevant information, including the contents of the consultation report, to the Poviat Labor Office.
The estimated amount of the provision for layoffs, which will be charged to the result of the Ten Square Games Group in the second quarter of 2023, will amount to approximately PLN 5.3 million. The Company estimates that the normalized effect of employment reduction will be visible in the Company’s results from August 2023, and the difference in costs incurred due to the reduction of employment will amount to 1.8 million per month.
The company will provide the final amounts of costs and savings due to employment reduction in the financial statements for the first half of 2023.