LogInReportedly, the company plans to lay off more than 10% of its employees.
Unfortunately, as each day passes, it becomes increasingly evident that the possibility of a game development studio experiencing layoffs is no longer a question of "if" but rather "when." In just under a month, the industry saw the departure of over six thousand workers, a figure that continues to rise as more companies opt to cut their financial losses by axing their workforce.
Image Credit: SEGA, Like a Dragon: Infinite Wealth
The latest studio that joined the bandwagon is none other than Sega of America, which reportedly plans to fire 61 workers come March, representing more than 10% of its entire staff.
According to an automated Twitter account, What Layoff, the layoffs are scheduled to be effective on March 8, 2024, as indicated in a notice issued as part of the California WARN Act, a legal requirement that mandates a two-month notice before a significant layoff is set to take place.
VGC further confirmed that Sega intends to separate its planned layoffs into two rounds, involving the elimination of 49 and 12 job positions. At the moment of writing, Sega of America itself hasn't officially announced its layoff plans.
The layoffs were also confirmed by the Allied Employees Guild Improving Sega union, which revealed in a Twitter thread that even more workers were about to get fired prior to the union's involvement:
Other companies that experienced layoffs in 2024 include Microsoft, with 1,900 developers affected, followed by Unity with 1,800, Riot with 530, Twitch with 500, Eidos-Montréal with 100, and over a couple of dozen others.
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