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Hasbro has laid off 3% of its workforce, or around 150 employees.
The toy company has been undergoing a turnaround effort, which includes a $1 billion cost-savings objective.
“We are aligning our structure with our long-term goals,” a Hasbro spokesperson said in a statement to Retail Dive regarding the cuts.
The company recently stated that the Trump administration’s tariff policies could result in layoffs.
“Ultimately, tariffs translate into higher consumer prices, potential job losses as we adjust to absorb increased costs and reduced profits for our shareholders,” CEO Chris Cocks said on a call with analysts in April.
The toy industry in particular faces high exposure to levies because nearly 80% of toys imported to the United States come from China. The two countries last week reached an agreement that the U.S. would impose 55% tariffs on imports from China, and China would maintain a 10% duty. The deal is subject to final approval by President Donald Trump and China President Xi Jinping.
Hasbro announced its turnaround plan, dubbed “Playing to Win,” earlier this year. Goals include driving mid-single-digit revenue growth between now and 2027 and expanding its reach while delivering cost savings.
“Our new strategy is grounded in the key insights which will drive Hasbro’s evolution into a modern play company: serving fans of all ages around the world at every price point, and meeting fans where they are playing, which is increasingly online,” Cocks said in February.
The company has undergone other rounds of layoffs, including cutting around 1,000 positions, announced in January 2023, followed by another 1,100 announced later that year.
Hasbro’s Q1 revenue increased 17% year over year to $887 million, driven by 46% growth in its Wizards of the Coast and Digital Gaming segment.