Shocking Turn of Events: Cyberpunk 2077 Developer Facing Massive Layoffs!

Highlights

Extensive severance packages will be provided to the impacted staff, and the studio has proactively informed them about the forthcoming downsizing.

CD Projekt Red is implementing downsizing in order to revamp its teams and development methods, aiming to create top-notch games without any delays or excessive work hours. Regrettably, the company has recently announced substantial layoffs that will impact a significant portion of its workforce. This news comes just a few months after CDPR received significant acclaim for providing menstrual leave to its employees, making it an even more disheartening development for the affected staff.

Workforce reductions are common in the gaming industry due to the cyclical nature of game development, which often leads to staff redundancies. In 2023, several companies, including Take-Two Interactive, Relic Entertainment, Team17, 343 Industries, and BioWare, experienced layoffs. CD Projekt Red is also preparing to downsize, as announced by CEO Adam Kicinski in a July 26 organizational update. After careful consideration, the studio determined it was overstaffed and will be laying off approximately 100 employees, which accounts for approximately 9% of its workforce. These cutbacks will not take immediate effect and are planned for as late as the first quarter of 2024. However, CD Projekt Red wanted to inform the affected employees well in advance to give them ample time to secure other job opportunities.

Meanwhile, the company has plans in motion to provide enhanced severance packages to its soon-to-be displaced employees. This downsizing initiative, as highlighted by Kicinski, is part of the studio's broader strategy to restructure teams and development practices, with the aim of delivering top-tier games without any delays or overtime pressures. In late June, CDPR's VP of PR and Communication, Michal Platkow-Gilewski, subtly revealed this mission, emphasizing the need to mend the studio's bond with its devoted fanbase.

The studio's ability to avoid further downsizing after this round of layoffs remains uncertain. However, the timing of the announcement suggests that the upcoming cutbacks may be a result of the cyclical nature of game development rather than solely the company's ongoing team transformations. CD Projekt Red currently has six projects in progress, with only Cyberpunk 2077: Phantom Liberty set to be released in the near future.

After the release of this expansion on September 26, CDPR will have five early-stage projects remaining: one original IP, three Witcher games, and the sequel to Cyberpunk 2077. While some of these titles may have already advanced beyond pre-production, the combined requirements of these projects do not provide enough opportunities for all of CDPR's current workforce. Kicinski acknowledged this in his recent public statement, while also conveying his best wishes to the company's employees affected by the layoffs.

Source: CDPR