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Roblox China Gets Hit By a Wave of Layoffs

Several of the company's employees were let go as part of the company's "evaluation of the operational structure".

Image Credit: Roblox

As we approach the end of 2023, it appears that the extensive wave of layoffs in the gaming industry that has persisted throughout the year is still going strong and, unfortunately, may continue into 2024. In recent months, major players like Activision BlizzardEpic Games, Intel, MicrosoftAmazon, and others have had to downsize their workforce, with some companies, like Embracer Group, even being forced to close several of their studios.

This time, the layoffs have impacted Roblox China, also known as LuoBu, which has had to let go of as many as 15 employees, affecting both their headquarters in Shenzhen and their teams in the US. According to a representative from LuoBu, these workforce reductions were attributed to a reevaluation of the company's operational structure, and it's worth noting that no other Roblox teams have been affected by these changes.

"Those employees whose roles were impacted have been informed," the spokesperson told GamesIndustry. "These actions are specific to LuoBu and its unique business and operational needs. No other teams within LuoBu or Roblox are impacted."

Image Credit: Roblox China

It's worth mentioning that this isn't the first instance of layoffs impacting Roblox. Just last month, Roblox had to fire 30 employees in their talent acquisition department due to revised hiring requirements.

"With our commitment to getting our cash compensation growth in line with our bookings growth by the end of Q1 2024, we now need a smaller Talent Acquisition organization to meet our adjusted hiring needs," commented the Roblox team in September. "This action is the result of the reduction in our hiring targets to better align with our growth goals."

Earlier this month, GamesIndustry reached out to professionals in the gaming industry to delve into the recent layoffs and the reasons behind them. In the process of their investigation, multiple analysts, recruiters, and investors provided their perspectives on the substantial layoffs and their potential implications for the game industry. You can learn more and read the report here.

Image Credit: Blizzard

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