Report: VR studio XR Games placing 72 employees at 'risk of redundancy'

Hitman 3 VR: Reloaded and Starship Troopers: Continuum developer XR Games has reportedly told a huge number of employees they could be laid off.

The news was shared and corroborated by a myriad of XR Games staffers on Linkedin, with many indicating the prospective layoffs are tied into "large-scale restructuring."

Multiple employees state that 72 roles are currently at "risk of redundancy," although others suggest they have already been laid off.

"Thanks to a massive restructuring at XR Games, I am one among a sea of people that has been informed that my role is at risk of redundancy," said Joe Hopson, project lead and QA tester at XR Games.

XR Games environment artist Max Fitzgerald explained their role has been "included in the 72 which is at risk of redundancy," while the studio's head of IT, Daniel Drakett, indicated his "entire team" is in the same boat.

QA project lead, Tamara Whymark, said her future is also uncertain. "I’ve just been made aware that my role of QA Project Lead is being made redundant at XR Games," she wrote. "Multiple redundancies (72 to be exact) are taking place at the company. I know the games industry is hard at the moment but I also want to give support for all my colleagues, they’re some of the most talented people I’ve ever met so please keep your eye out for them."

XR Games' website states it currently has "over 100 members of staff" and notes it has worked with major game and movie studios including Meta, PlayStation, Microsoft, and Sony Pictures.

The company has won numerous awards but recently apologized for the quality of Hitman 3 VR, which it said "has not met  our own high expectations." The studio pledged to continue supporting and improving the title, which launched on September 5, 2024.

It's unclear whether that sub-par release impacted the studio's decision to restructure. Game Developer has reached out to XR Games for more information.