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NEWS: Funimation Restructures with Layoffs in Several Depts.


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RadicaLElly



Joined: 24 Aug 2004
Posts: 148
Location: Coral Springs, FL

PostPosted: Wed Jan 07, 2009 4:37 pm Reply with quote
testorschoice wrote:
RadicaLElly wrote:
My goodness is that headline misleading. Makes it sound like they were facing a crisis.


Headline: "FUNimation Restructures with Layoffs in Several Departments"

First sentence from FUNimaton's statement: "We can confirm that FUNimation Entertainment has completed a company-wide restructuring that includes staffing reductions in several departments."

Which part of the headline is misleading?

Quote:
Fifteen people in two years is hardly doom-worthy.


I think you misread the numbers. There are "at least two employees" laid off this year, but FUNimaton's statement also said "company-wide" reductions in "several departments." FUNimation lost another 10% two years ago, and that's significant for any company.

If you got "fifteen people" by adding 2 + 13, the 13 employees were from ADV, not FUNimation.

"A.D. Vision, the corporate parent of the anime distributor ADV Films, laid off 13 employees in October 2007."


I didn't notice I had the wrong numbers. Thanks for the catch, but I still stand by my statement. Slightly over 10% in the course of 2 years really isn't that much, particularly considering the state of our economy. I sincerely doubt it's worth panicking over 2 people being laid off for the first time since a mass layoff from 2007.
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testorschoice



Joined: 28 Apr 2007
Posts: 465

PostPosted: Wed Jan 07, 2009 4:46 pm Reply with quote
RadicaLElly wrote:
I didn't notice I had the wrong numbers. Thanks for the catch, but I still stand by my statement. Slightly over 10% in the course of 2 years really isn't that much, particularly considering the state of our economy. I sincerely doubt it's worth panicking over 2 people being laid off for the first time since a mass layoff from 2007.


Yeah, it's not worth panicking about, but people seem to be latching onto the "two people" part as a sign this is minor. It's actually "at least two people," and FUNimation's "several departments" statement indicates it's more. It's neither life-threatening nor insignificant, but somewhere in between--and yeah, arguably and sadly, necessary in this economy.
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hikaru004



Joined: 15 Mar 2004
Posts: 1832

PostPosted: Wed Jan 07, 2009 5:48 pm Reply with quote
But you don't know how many people where in the affected departments. Worse case scenario could be that the 2 known people involved were the only ones in their departments.

It's not like these distributors are huge corporations and can afford to layoff people. Someone or some other department has to pick up the slack now.
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CCSYueh



Joined: 03 Jul 2004
Posts: 1913
Location: San Diego, CA

PostPosted: Wed Jan 07, 2009 7:27 pm Reply with quote
It sort of sounds as though they probably reduced "duplication" (meaning similar but different functions) Sort of like I still don't understand why the Department of Defense needed 500 billion in 2008 while we budgeted $145 billion on the global war on terror & 34 billion on Homeland Security. (Couldn't the Defense people handle it all?). In fat times maybe it sounds like a good idea to have people devoted to specific things, but in thin times it's better to cut back.
It's tough on the people who lose their jobs, but hopefully its been as small a layoff as possible. Some restructuring doesn't equal layoffs. If they had some openings, they maybe moved some bodies over to other spots. We have about 15 people whose jobs have been eliminated, but most have apparently slipped over to unfilled slots. Hopefully this is what Funi managed.

Voice talent usually aren't staff--they're usually contract work, I believe.
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jvowles



Joined: 23 Nov 2004
Posts: 154
Location: Maryland

PostPosted: Wed Jan 07, 2009 7:36 pm Reply with quote
GeneralArrow wrote:
DmonHiro wrote:
Hmmm......this is interesting. Funi HAS been pumping licenses like crazy, but I'm interested in what their angle is.

Considering that they have there own private TV network you can assume they make as* loads of money from private advertising. It also helps that there part of a larger company which can fund its endeavors. Considering that funimation is moving in the right direction with iTunes, Download to Own, smaller cheaper boxsets with excellent dubs. They also have stuff up on xbox live now if I remeber right as well as free streaming of certain series on there own website. All in all I would assume this generates a good amount cash.


I think you may have an inflated sense of how much money is being made via advertising. If they're VERY lucky, their TV channel and streaming ads pay for the service, but probably not much more. I'd be *really* surprised if they were terribly profitable.

Advertising overall is down by a significant percent, everywhere, and advertising to a niche market on a station without much penetration isn't likely to be that lucrative.

It doesn't do them much good to make awesome products if people don't *buy* them.
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kokuryu



Joined: 07 Apr 2007
Posts: 910

PostPosted: Wed Jan 07, 2009 7:36 pm Reply with quote
Good for Funi! It sounds like they put a lot of thought into how to do things the right way, rather than burning through cash and throwing up their hands, they tried a different strategy: stay in business. My hats are off to them. They put the customers first.
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jvowles



Joined: 23 Nov 2004
Posts: 154
Location: Maryland

PostPosted: Wed Jan 07, 2009 7:38 pm Reply with quote
hikaru004 wrote:
But you don't know how many people where in the affected departments. Worse case scenario could be that the 2 known people involved were the only ones in their departments.

It's not like these distributors are huge corporations and can afford to layoff people. Someone or some other department has to pick up the slack now.


Bingo. One person I know of who got the axe was the brand manager for several quite popular shows.
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GATSU



Joined: 03 Jan 2002
Posts: 8413

PostPosted: Wed Jan 07, 2009 8:21 pm Reply with quote
For once, testor and I are on the same page. FUNi is good at bs'ing its stability with all those recent acquisitions, but it's probably staking it's future on its capital, rather than on its investments.
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Dargonxtc



Joined: 13 Apr 2006
Posts: 4153
Location: Nc5xd7+ スターダストの海洋

PostPosted: Wed Jan 07, 2009 8:28 pm Reply with quote
Well tis the season, everyone's doing lay-offs this time of year. My company just did theirs Monday. About ten people that I know of.

CCSYueh wrote:
(Couldn't the Defense people handle it all?)

No they can't, that's unconstitutional. Unless they declare martial law of course.
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testorschoice



Joined: 28 Apr 2007
Posts: 465

PostPosted: Wed Jan 07, 2009 8:31 pm Reply with quote
GATSU wrote:
For once, testor and I are on the same page. FUNi is good at bs'ing its stability with all those recent acquisitions, but it's probably staking it's future on its capital, rather than on its investments.


I didn't quite say that either. Smile Between the people saying that FUNimation is in dire straits, and the people saying this is insignificant, there is the more likely scenario in between--it's facing the same tough decisions that almost all the companies are facing in this economy.
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writerpatrick



Joined: 29 Mar 2006
Posts: 117
Location: Canada

PostPosted: Wed Jan 07, 2009 10:10 pm Reply with quote
A couple layoffs isn't something to panic about, even if it does follow a bunch of layoffs earlier. People leave companies all the time, sometimes two are laid off at once. Usually this means nothing, but it can mean the company is looking to sell itself. However, I don't see that as the case.

With all the recent aquisitions it almost looks as if Funimation is becoming the new Geneon. But it appears fairly clear what they are trying to do. Instead of trying to sell shows to TV they are running them on the Internet first, then when customers want to buy the DVDs they can get them from Funimation. Not a bad model, and probably about the right time to try something like that.

However, that's not the sort of model that would need a large staff; just enough to manage the servers and webpages, and some sales staff to take orders. That would likely account for the downsizing. But if it works out for them they could be hiring on new staff in a few years.
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jeromeskee



Joined: 13 Jan 2006
Posts: 91

PostPosted: Wed Jan 07, 2009 10:26 pm Reply with quote
Hmm, so even Funimation, one of the two big dogs left standing after the recession (VIZ being the other), is not prone to reducing their labor to cut costs and making ends meet
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dynasore



Joined: 04 Jan 2009
Posts: 1

PostPosted: Wed Jan 07, 2009 11:16 pm Reply with quote
Navarre Corp (Fun's parent) terminated its Chief Operating Officer two days ago and has no plans of finding a replacement anytime soon. That's some belt-tightening in a tough economy. Good luck to everyone at Flower Mound, TX.
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MokonaModoki
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Joined: 30 Oct 2005
Posts: 417
Location: Austin, Texas

PostPosted: Thu Jan 08, 2009 12:26 am Reply with quote
testorschoice wrote:
GATSU wrote:
For once, testor and I are on the same page. FUNi is good at bs'ing its stability with all those recent acquisitions, but it's probably staking it's future on its capital, rather than on its investments.


I didn't quite say that either. Smile Between the people saying that FUNimation is in dire straits, and the people saying this is insignificant, there is the more likely scenario in between--it's facing the same tough decisions that almost all the companies are facing in this economy.

Another possibility being missed by focusing on this as anime news is that this has almost nothing to do with Funimation making business decisions, and much more to do with with a parent corporation for which Funimation has been doing the heavy lifting as its sibling publishing companies continue to bleed money.

dynasore wrote:
Navarre Corp (Fun's parent) terminated its Chief Operating Officer two days ago and has no plans of finding a replacement anytime soon. That's some belt-tightening in a tough economy. Good luck to everyone at Flower Mound, TX.

Bingo.
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Jandulh



Joined: 09 Jan 2006
Posts: 1
Location: Los Angeles

PostPosted: Thu Jan 08, 2009 12:32 am Reply with quote
I heard it was 20 people.

I was canned August 1st, and I feel it was more about budget than the paper thin write up.

They won't layoff any VA's or Directors... they already moved them to contract work =) You don't get laid off then, the work dries up.
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