EA Settles Employee Lawsuit
Vicissidude writes "EA has agreed to pay out $15.6 million to settle a lawsuit filed by artists seeking overtime pay." From the aticle: "The employees charged that EA violated labor laws requiring it to pay overtime and were seeking past-due overtime pay and penalties. Under the settlement, about 200 entry-level artists will become hourly workers eligible for overtime pay and a one-time grant of restricted EA stock. Those employees would then be excluded from bonuses and stock option grants. No news on the lawsuit filed by EA programmers."
Wedbush Morgan Securities analyst Michael Pachter said EA will get productivity gains from the changes and, if it needs to, will control costs by weeding out slower workers.
He said the artists who are reclassified as hourly would likely get more supervision and be assigned work-related quotas, resulting in less job satisfaction.
"Think of it more like a factory worker," he said. "The assembly line just sped up."
Is this really a win for the artists? Are quotas a good thing for game development? If an artist is supposed to pump out x amount of textures or models or what not, then will they still be able to put out great games?
I can see it now, an artist who's talents are probably at the higher end of the spectrum...but this is because he takes a bit more time on his work, thus giving managers the excuse to fire him at whim because he's not "performing up to standards."
$13-$18/hr is what they make if they only work 40hr weeks. When you start working as much overtime as is required in the software industry the hourly wage starts to go down quite a bit.
$15.6m is what the production costs are on a high end 'AAA' title (usually a bit less) in which would pay them back 100 times that.
Yes, and god knows they make 100x on every title they do.
Much like the movie and music business, most titles loose money, but the hits keep everything going. Who's to say if that $15M would have been spent on a hit or a non-hit.