TCGPlayer to Lay Off 220 Employees Amid Office Closure

Categories: Business NewsFinanceLegalNews

The TCGPlayer office stands empty after the announcement of the upcoming layoffs.

News Summary

TCGPlayer has announced the closure of its downtown Syracuse office, transitioning operations to Louisville, Kentucky. This move will result in layoffs for approximately 220 employees in two phases. The layoffs coincide with ongoing union negotiations, raising concerns about the company’s commitment to its workforce. Local officials are calling for accountability regarding taxpayer support received during the company’s expansion, while remote employees in Syracuse remain unaffected by the layoffs. The closure occurs following TCGPlayer’s acquisition by eBay, leading to necessary restructuring efforts.

Syracuse, NY – TCGPlayer, a well-known trading card retailer, has announced plans to close its downtown Syracuse office and transition operations to Louisville, Kentucky. This significant move will result in approximately 220 employees facing layoffs in two phases—those hired before July 1, 2021, will be terminated on July 18, while those hired afterward will lose their jobs on June 20. The layoffs come at a particularly challenging time for employees who had recently been involved in union negotiations, raising concerns over the company’s commitment to its workforce.

The decision to lay off workers follows TCGPlayer’s recent vote to join the Communications Workers of America (CWA) in March 2023, as they were actively bargaining for a first union contract when the layoffs were announced. Many employees have expressed feelings of betrayal, citing the company’s failure to disclose potential mass layoffs during contract negotiations. At a recent rally, employees criticized TCGPlayer’s financial justification for the layoffs, suggesting that the workforce reductions are linked to their efforts to unionize.

Union representatives have indicated that TCGPlayer has not engaged in good faith bargaining regarding proposed wage increases, further exacerbating tensions between workers and management. Many affected employees have stated that they have not received a pay increase in nearly four years, leaving them feeling undervalued and vulnerable as job security diminishes.

In explaining the office closure, company leadership attributed the decision to financial losses and space limitations, asserting that maintaining operations in Syracuse had become unsustainable. While this reasoning has been presented as a business necessity, the timing of the layoffs amidst ongoing union negotiations has raised questions about the company’s motivations.

Accountability has also been called for by local officials, such as city auditor Alexander Marion, who has urged TCGPlayer to clarify its use of taxpayer support received during its expansion efforts in Syracuse. This scrutiny underscores the broader economic impact of the company’s decision on both its employees and the local community.

Despite the layoffs affecting mainly in-office employees, it is important to note that remote employees—approximately 400 based in Syracuse—will not be impacted. This distinction highlights the ongoing shift in workplace dynamics, as remote work becomes more prevalent in various industries.

The emotional fallout from the impending job losses has been significant, with many employees describing their workplace culture at TCGPlayer as family-like. This close-knit environment has fostered strong team relationships, making the layoffs more distressing for those directly affected. Employees have often expressed their affection for their roles and colleagues, deepening their sense of loss as they prepare for the transition.

The decision to close the downtown office follows TCGPlayer’s acquisition by eBay for $295 million in 2022. The transition to eBay’s ownership has brought a new direction for the company, leading to these restructuring efforts that have left employees in a precarious position. The company previously benefited from considerable state economic development grants, now placing additional pressure to ensure transparency and accountability in its business decisions.

As TCGPlayer prepares for this significant organizational change, its laid-off employees grapple with uncertainty about their futures and the implications of unionization efforts just beginning to take shape. The upcoming months will be critical for both the company and its workforce as they navigate this turbulent landscape.