Hasbro To Cut Global Workforce By 3% To Save Costs As Tariff Pressures Weigh: Retail Sentiment Improves

CEO Chris Cocks had warned in April that tariffs could ultimately lead to layoffs and higher prices for consumers.

Toy-maker Hasbro (HAS) announced that it will lay off 3% of its global workforce as part of its latest cost-cutting drive in response to headwinds from U.S. trade tariffs.

The cuts affect approximately 150 employees, based on the company's nearly 5,000 total employee count at the end of last year.

Toy companies remain heavily reliant on manufacturing in China, where U.S. tariffs are among the highest.

While some higher duties are paused, firms are seeing production costs rise, pressuring them to balance the impact through higher consumer prices and cost cuts elsewhere in their operations.

"We are aligning our structure with our long-term goals," a Hasbro spokesperson told news publications on Tuesday.

The retrenchment follows much more significant cuts in 2023 when the company laid off about 1,900 workers.

Hasbro, known for Monopoly board games and Nerf blasters, is undergoing a multi-year restructuring in response to soft demand for toys following the pandemic and has committed to saving $1 billion in costs over the next few years.

Hasbro sales have held up recently, partly due to high sales of board games such as “Magic: The Gathering” and “Dungeons & Dragons.” In the first quarter, sales jumped 17%.

Hasbro CEO Chris Cocks had warned in April that tariffs could ultimately lead to layoffs and higher prices for consumers.

On Stocktwits, the retail sentiment for the company shifted to 'bullish' from 'neutral' the previous day.

HAS shares are up 20.7% year-to-date.

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