The gaming industry is no stranger to layoffs and studio closures, and Embracer is a prime example of a company that has made promises it cannot keep. Despite the CEO’s announcement that the widespread removal of workers was over, it is clear that layoffs are still happening across their many owned studios. Recently, a support studio for popular games like Diablo IV and Tiny Tina’s Wonderlands experienced significant layoffs, with over half of the employees losing their jobs.
The aftermath of these layoffs is not just a loss of jobs, but a loss of livelihoods for many talented individuals. From junior VFX artists to senior QA analysts, a wide range of roles were affected by the recent round of layoffs. Even positions like executive producer and creative director were not safe from the cuts. The toll on employees is evident in the words of Nick Barone, an art director who survived an earlier round of layoffs only to find himself let go last week. His post on LinkedIn reflects the sadness and uncertainty that many employees are facing in the wake of these layoffs.
The studio, Lost Boys Interactive, attributed the layoffs to “shifting market conditions” and the influence of their development clients. As a co-development partner studio, their fate is tied to the projects and priorities of the studios they work with. This lack of stability and autonomy is a reality for many support studios in the industry, making them vulnerable to sudden changes and job cuts.
Embracer’s pattern of layoffs and studio closures is not unique in the gaming industry. In recent years, mass layoffs have become a common occurrence, with companies prioritizing profits and consolidation over job security for their employees. The industry-wide trend of mergers and acquisitions has led to a climate of uncertainty and instability for many workers, who are left wondering if they will be the next ones to lose their jobs.
The ongoing layoffs at Embracer and other gaming companies highlight the need for greater transparency and accountability in the industry. Employees deserve to have a voice in decisions that impact their livelihoods, and companies must prioritize the well-being of their workers over short-term profits. As the gaming industry continues to evolve and grow, it is crucial that companies take responsibility for the impact of their actions and work towards creating a more stable and sustainable future for all employees.
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