PAWTUCKET, R.I. — Hasbro, the toymaker known for producing popular brands Transformers and Play-Doh, and games like “Monopoly,” “Magic: The Gathering” and “Dungeons & Dragons,” said Monday it would eliminate 1,110 jobs due to a sluggish toy market.
The trimming of nearly 17% of the Pawtucket, Rhode Island-based company’s workforce was announced in an SEC filing posted to Hasbro’s website, WPRI-TV reported. The move was announced in a memo to staff by Hasbro’s chief executive, Chris Cocks, according to The New York Times.
“The market headwinds we anticipated have proven to be stronger and more persistent than planned,” Cocks wrote. “While we’re confident in the future of Hasbro, the current environment demands that we do more, even if these choices are some of the hardest we have to make.”
Hasbro reported having about 6,500 employees as of the end of 2022, according to The Wall Street Journal. The company expects the latest job cuts to be completed in the next 18 to 24 months.
The layoffs follow the cutting of 800 jobs at Hasbro earlier this year, according to the Times.
Shares of Hasbro fell more than 4% in after-hours trading on Monday, CNN reported.
According to Cocks, some employees agreed to participate in Hasbro’s voluntary early retirement program, WPRI reported. Other employees will be offered “comprehensive packages” that include job placement support.
“I know this news is especially difficult during the holiday season,” Cocks wrote in the memo. “We value each of our team members – they aren’t just employees, they’re friends and colleagues. We decided to communicate now so people have time to plan and process the changes.”
The announcement comes a week after the company celebrated its 100th anniversary. The company was founded on Dec. 6, 1923, in Providence by Henry and Hillel Hassenfield, according to the company’s website.
The company first sold textile remnants before selling pencil boxes. The company’s first line of toys, doctor and nurse kits, were produced in 1940.
Classic toys sold by the company were Mr. Potato Head in 1952, and G.I. Joe in 1964. My Little Pony debuted in 1983, followed by Transformers the following year, according to the company’s website.