People in some states will begin to see regular GameStop hours again. The company announced the next steps for operating during the COVID-19 coronavirus pandemic on April 21, 2020. As South Carolina began reopening stores on April 21, 2020 and Georgia will begin reopening on April 24, 2020, GameStops in both states will open their doors again. In addition, the salaries for chief officers and money that goes to board of director members have been cut and some other staff members will have reduced hours or pay.
When the pandemic initially hit, GameStop began to refer to itself as “essential retail” and attempted to maintain regular hours and stay open. However, state lockdowns led to locations closing. Some stores did remain open for curbside pickup. The company’s new plan noted that two-thirds of its stores offer curbside-pick up, with the remaining stores in the United States closed. However, it is planning to reopen all stores.
As for the exact details on how salaries and the employees’ GameStop hours will be cut, here is the official breakdown going how pay will change for different individuals.
- A temporary base salary reduction of 50% for George Sherman, Chief Executive Officer, 30% for Jim Bell, Chief Financial Officer and the remainder of the executive leadership team.
- The Board of Directors has temporarily reduced cash compensation to directors by 50%.
- Other actions include:
- Beginning April 26th, certain other employees across the Company’s worldwide operating units will receive temporarily reduced pay of between 10% and 30%.
- Offered certain of the Company’s corporate support staff the option to either a temporary furlough or reduced workweek / reduced pay program.
- Reduced inventory receipts to match demand with a focus on key hardware, software and accessories products.
- Lowered capital spending to focus on mandatory maintenance or near-term high value strategic projects.
- Due to the impact of governmental regulations and certain landlord decisions to close properties, the Company did not make a portion of certain lease payments and remains in discussions with its landlords regarding ongoing rent payments, including potential abatement, deferral and or restructuring of future rents during this period of COVID-19 related closure.
Most GameStop stores have been closed in the U.S. since March 22, 2020.
[Image Source: GameStop]