Update: The DualShockers report was apparently incorrect and the original Reddit thread saying the operating permit had been suspended was false, according to comments from GameStop in response to the article. GameStop ceased physical store operations pursuant to local pressure to do so, but not as a result of losing its operating permit.
Original: Days after GameStop came under fire for not complying with lockdown measures to curb the spread of Coronavirus, the company has announced that it’s shutting down store operations and will operate on a digital-only basis until further notice.
Prior to GameStop’s move, a Reddit user shared a notice glued on a GameStop outlet’s window in Pennsylvania, which states that stores in the region have been forced shut by the order of respective authorities and the retailer’s operating permit has been suspended until further notice. GameStop previously argued that it was an “essential” business because it sold peripherals that people needed to work from home.
“Effective Sunday March 22, 2020, for all locations not already closed in accordance with state and local orders, GameStop will temporarily stop customer access to storefronts, processing orders on a digital-only basis, moving to curbside pick-up at stores and eCommerce delivery only,” said the retailer in its latest press release. “This will allow the Company to continue to serve customers who have purchased online at GameStop.com and the GameStop app and have requested a product pick-up at their local store.”
GameStop’s California outlets have already been closed down, and some employees have reportedly been asked to request personal time or file for unemployment.
“Our priority has been and continues to be on the well-being of our employees, customers and business partners,” CEO George Sherman said in a statement. “The Company has announced it will pay all U.S. employees whose hours have been eliminated an additional two weeks at their regular pay rate based on the average hours worked in the last 10 weeks. In addition, the Company will reimburse all benefit eligible U.S. employees one month of the employee portion of benefit expenses.”
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