We've just gotten word that GAME Australia has begun to make staff redundant in the wake of its move into voluntary adminstration early last week. According to the administrators, PwC, 60 stores will be closed across Australia.
According to a release from PwC, 264 store employees and 17 head office employees will be made redundant.
"This is a difficult time for employees and closing the stores was not a decision we made easily," said Kate Warwick, from PwC. "However it is not financially viable to continue to operate at this level at this time.
"PwC has been in touch with the Federal Government Department that deals with General Employee Entitlements and Redundancy Scheme (GEERS) and will assist the employees with their applications."
We have no idea which specific stores will be affected at this time, but we were informed that the financial performance and profitability of these individual stores meant they had to be closed in order to give GAME a better chance of finding a buyer in the coming weeks and months.
UPDATE: The Australian Financial Review has a full list of all the stores being closed.