Heavy layoffs have cast a large shadow on the video game industry. The worrying trend began in 2023 and continues apace in 2024 – there’s already been over 8,700 people who’ve lost their jobs within the first few months of the year.
And today, The International Game Developers Association (IGDA) released a strong call to action for game studios, asking them to “better plan for sustainable growth and stop driving talent away” from the industry. The non-profit organization, which has more than 10,000 members and over 150 chapters around the world, created a list of actionable items for companies to consider doing:
- Maintain short-term and long-term company and industry forecasts with an understanding that periods of accelerated growth are usually followed by periods of stagnation or even decline.
- Keep headcount reductions to a minimum. Drastically reducing headcount only helps short-term finances and is costly both in terms of team morale and in training and onboarding when those teams need to be regrown later.
- Reduce risk and headcount fluctuations by maintaining multiple projects if possible. Spreading risk over several projects in different stages of development provides a better chance of success and a place to utilize talent as they ramp off of other projects.
- Maintain transparent communication with your team and address concerns related to well-being and job security when raised.
- Support diversity initiatives and internal roles to help retain the increased diverse talent the games industry has developed over the last decade.
- Provide ample support to departing employees to ensure their wellbeing and future success.
The organization will also create resources for leaders and decision-makers to address each of the above topics within their own studios.
“Together, we can navigate the current challenges facing developers and the industry at large with resilience and empathy while building a sustainable future for games and all those who create them,” the IGDA said in its statement.
Not surprisingly, the alarming number of layoffs have been a huge topic in the industry, with former studio execs, award show speakers, and many others weighing in to figure out what went wrong with these companies and how to find possible solutions.