A report over at Yahoo.uk suggests that the troubled (in the UK) GAME retail business may finally be facing administration, causing some 10,000 people to potentially lose their jobs.

The site reports that GAME in the UK has put itself up for sale, and that quarterly rent on its 600 UK stores is due in a fortnight of writing, leaving them open to administration if no one sees potential in any kind of buy-out.

The retailer's trading difficulties deepened in recent weeks, despite it agreeing revised lending facilities with its banks last month.

But the loan was not enough to reassure suppliers, with Game reportedly losing the rights to sell keenly awaited fighting game Street Fighter X Tekken. Last month the retailer told gamers it would not be selling popular sci-fi game Mass Effect 3, supplied by Electronic Arts.

We've contacted local PR for GAME here in Australia to see if there's a knock-on effect expected, or any trouble at all locally, and will update this story when we get a response. In the meantime, we're hoping said 10,000 GAME employees aren't left out in the cold.

Did you say steak?!

Same as EB over here, way overpriced,not surprised

Can you see EB making any changes to their current business model as a result of this news? I'm sure they're feeling the pinch.

10,000 people for 600 stores seems a little out of wack...? Although I guess I'm imagining them like a small EB with like 3-5 employees each. Are they massive stores with stacks of employees per store?

Admin, Warehouse, Head Office and an (uncircumsized) dick load of Casual workers that only get <10 hours a week work anyway.

world needs another war, the ones that don't die will all have jobs rebuilding the cities. Plenty of work for all.

16 staff per store doesn't sound unreasonable if you have a few casuals/part-time staff per store, and then add admin, marketing, warehouses etc.

paying rent for 600 shops?!?! jeebus! do they actually own anything?

paying rent for 600 shops?!?! jeebus! do they actually own anything?

Signage?

Probably rent that as well.

10,000 is pretty conservative.

I used to work for EB and had (at a medium/small store) at minimum 5 staff, but at one time or another as many as 9 staff.
Some of the larger stores (Bondi in Sydney is fairly large) would easily have double-triple that, as well as two full sets of management staff (to allow for appropriate coverage of longer shifts).

This is all before you get a concept for the logistics and head office manning.

The PC market turned it's back on retail sales (and I fully count myself as a part in that) some time ago. With the next generation of consoles looking at 'direct download' type sales models, I think this will kill off all of the video game sales stores in Australia (if not globally).


I was walking around the only WOW Sight and Sound store in the ACT yesterday... and it's pretty depressing. But with Australia not really manufacturing any of these types of goods, and with our (sometimes bloated) consumer practices and staff entitlements, this seems to be more and more where we're headed.

(I'm all for 'buying Australian', but how is the local 'Market' supposed to function in these circumstances)