Amid a backdrop of layoffs affecting giants such as Microsoft, SEGA, and PlayStation, Capcom has announced plans to significantly increase employee salaries and improve compensation packages.
Capcom’s strategy focuses on bolstering its workforce, fostering a positive corporate culture and securing its position as a desirable place for top talent.
The company’s new initiative includes raising the starting salary for new graduate hires in the fiscal year 2025 from a monthly salary of ¥235,000 ($1,573) to ¥300,000 ($2,008), a 27.7 percent increase. This adjustment is part of a broader strategy to invest in human capital and attract exceptional talent. Additionally, Capcom pledges a one-time special payment to all current employees, including those joining in the fiscal year 2024, which emphasizes its dedication to rewarding the people who drive the company’s success.
Capcom’s decision to increase salaries is accompanied by the company’s broader HR investment strategy. Since April 2022, Capcom has already increased the average base salaries by 30 percent and introduced a new bonus system that’s more closely tied to the company’s business performance. These measures demonstrate Capcom’s proactive approach to addressing societal issues and enhancing its corporate value through a trusting relationship with its employees and stakeholders.
Capcom’s strategy comes just as the company enjoys another year of robust sales led by flagship titles such as Street Fighter 6 and Resident Evil 4 Remake. The said releases have helped keep Capcom on track to achieve its 11th consecutive year of operating income growth. This financial health enables Capcom to increase worker compensation and invest in future projects like Dragon’s Dogma 2 and Monster Hunter Wilds, expected to contribute to the company’s continued success.
Capcom’s focus on improving its HR practices extends beyond salary increases. It’s also reorganizing its Human Resources department around four pillars. This aims to sustain the creation of high-quality AAA titles by providing a comfortable work environment, driving personnel acquisition, and enhancing training activities.
Capcom’s approach contrasts sharply with the industry-wide layoffs that have plagued several other similarly-sized companies in recent years. However, Capcom’s investment in its employees suggests that supporting and retaining talent is crucial to long-term success.
The upcoming fiscal year is noteworthy for Capcom as it isn’t expected to release a new Resident Evil entry, but it’s believed that several new entries and remakes are currently in development. Capcom is banking on ending the current fiscal year on a high note with the release of Dragon’s Dogma 2 on March 22.
