Entain has unveiled significant job cuts in Australia and New Zealand as it looks to streamline its business and reduce its local costs. This follows earlier job cuts that saw the company lay off dozens of workers.
Entain Seeks to Reduce Costs by Up to $60M
According to the announcement, Entain is set to cut some 10% of its workforce in Australia and New Zealand. This means that it could impact as many as 120 jobs in its efforts to reduce its operating costs.
The past few months have already seen Entain reduce its workforce in Australia and New Zealand by cutting 60 jobs and putting another 60 under consultation. The cuts come in the wake of Entain’s departure from its Entain Venues strategy and the halt of its Racing Club initiatives.
Reports say that the layoffs will affect all departments with the exception of the company’s AML and safer gaming teams.
For context, Entain is looking to slash $60 million off its ongoing costs, according to reports.
As the company seeks to save money, it is also likely to refrain from renewing certain sponsorship. In addition to that, Entain is preparing to review its business expenses to further streamline its business and improve its efficiency.
According to a spokesperson, the company’s ultimate goal is to achieve a “win, but not at all costs culture.”
Entain Under Regulatory Scrutiny
In the meantime, Entain is preparing to defend itself in what could become a high-profile case under the country’s AML laws. Last month, the company submitted a formal response to the Federal Court civil case brought by AUSTRAC, highlighting its substantial compliance progress.
For context, the case is related to 17 high-risk customer accounts that moved more than AUD 152 million on Entain’s gaming platforms. While Entain acknowledged some of its shortcomings, it asserted that its internal controls have been significantly improved since the violations in question. In addition to that, Entain attributed its failings to misjudgment rather than an intention to violate the law.
In the meantime, The Star Entertainment Group is also reportedly considering reducing its workforce.