Key Facts
- ✓ EB Games has proposed closing all stores and the distribution centre in New Zealand.
- ✓ Employees have until January 12 to respond to the closure proposal.
- ✓ The company operates 38 stores in New Zealand and 374 across Australia and NZ.
- ✓ EB Games is owned by US retailer GameStop.
Quick Summary
EB Games has proposed a complete withdrawal from the New Zealand market, suggesting the closure of all retail outlets and the national distribution centre. This potential move was outlined in a formal letter sent to staff members. The company emphasized that the proposal is currently under review and subject to a consultation period. If the closure is finalized, it will result in the total elimination of the brand's workforce in the region. The consultation process requires employee responses by January 12. The brand operates as a subsidiary of GameStop, maintaining the EB Games identity in Oceania despite rebranding efforts in the United States. The proposed shutdown affects 38 specific locations within New Zealand, contributing to a regional total of 374 stores.
The Proposal and Employee Impact
EB Games has officially communicated a proposal to shutter its entire operational footprint in New Zealand. The decision includes the closure of all remaining retail stores and the country's distribution centre. The company sent a letter to employees detailing the potential changes. The letter explicitly stated that the proposal is not final. A decision will only be reached after a full consultation process is conducted in good faith with the affected team members.
The consultation process is currently underway, giving employees a specific window to provide feedback. Staff members are required to submit their responses regarding the closure proposal by January 12. The letter confirmed that if the proposal moves forward, all employment roles at EB Games New Zealand will be eliminated. The specific number of employees who will lose their jobs has not been disclosed in the current reporting. The potential closure represents a significant shift for the retail chain in the region.
"This proposal is not final, and no decision will be made until we have completed a full consultation process in good faith with affected team members."
— EB Games Letter to Employees
Operational Scale and Ownership
The proposed closures affect a specific subset of the wider EB Games network. Currently, the Australian and New Zealand operations consist of a total of 374 stores. Within this regional network, 38 stores are located specifically in New Zealand. The closure of these locations would mark a significant reduction in the company's physical presence in the Pacific region. The brand remains a subsidiary of the American video game retailer GameStop.
GameStop acquired the EB Games business during the mid-2000s. Following the acquisition, the parent company implemented a rebranding strategy in the United States, converting all EB Games locations to the GameStop banner. However, the Australian and New Zealand markets were treated differently. Stores in Oceania retained the EB Games identity and have operated under that name since the acquisition. The current proposal suggests a potential end to that history in New Zealand.
Conclusion
The future of EB Games in New Zealand currently hangs in the balance pending the outcome of the consultation process. While the proposal outlines a total withdrawal from the market, the company has reiterated that the final decision is contingent on discussions with employees. The deadline for employee input is set for January 12. Following this date, the company will likely determine the final status of its 38 New Zealand stores and distribution operations. The potential closure highlights the shifting landscape of physical retail in the video game industry.
