Microsoft joins the wave of technology layoffs that have hit the industry hard. The company will lay off at least 5% of its workforce, which translates into 10,000 jobs. This reduction will occur during the first months of 2023 and will have a $1.2 billion impact.
Wave of layoffs
Microsoft’s layoffs affect Bethesda and 343 Industries. But who bears the brunt is the team that developed Halo Infinite. Journalist Jason Schereier claims that 343 Industries has been hit very hard. Significant layoffs have affected much of the group, especially those who worked on the Campaign Mode.
Microsoft won't share specific numbers, but several employees have told me that 343 Industries was hit hard. This comes in the wake of a long-running hiring freeze and a lot of contractor departures
— Jason Schreier (@jasonschreier) January 18, 2023
Some opinions
This information has been officially confirmed and some developers have expressed their regrets on social networks. One of the first to express his opinion has been the main engineer of growth and loyalty of Xbox, Gary Waliczek, who has said
“Games are affected by the layoffs, which probably includes people on my team.”
But he later deleted the message.
Kevin Schmitt, Halo Infinite’s senior designer, has expressed his regret.
Changed status to: Looking for group. lol/cry
— Kevin Schmitt (@kevindschmitt) January 18, 2023
On the other hand, 343i video producer Jesse Stipek confirms his dismissal via his Twitter account.
My heart is heavy today. This sucks.
— Jessabirdy (@Jessabirdy) January 18, 2023
In addition, Sam Luangkhot, community manager for The Elder Scrolls Online, has confirmed his departure. Also, Renee Sogueco, head of public relations at Bethesda, has been very clear on LinkedIn.
Renee Sogueco comments:
“Well, it’s happened! I got laid off from Bethesda Softworks today as a result of the Microsoft layoffs, so I’m back on the market.”
Layoff process
Microsoft CEO Satya Nadella comments:
“The reasons for the layoffs are due to macroeconomic conditions and changing customer priorities.”
The wave of layoffs goes a little. Further, a report has been published clarifying that underperforming employees have been laid off in some parts of the company. For example, Microsoft’s HoloLens and some engineering divisions have suffered staff cuts.
I was just laid off today as part of the Microsoft changes.
To my #ESOFam, I'll still be cheering for all of you and the Global Reveal. I loved working with all of you and I'll miss you all so much 💔🦎
— 🌟Sam Luangkhot (@flarechess) January 18, 2023
In addition, Jason Schreier has commented:
“It sounds like 343’s Halo Infinite campaign team got hit hard. In an email to staff, studio head Pierre Hintze wrote that: we’ve made the difficult decision to restructure elements of our team, which means some roles are being eliminated”.
It sounds like 343's Halo Infinite campaign team got hit hard. In an email to staff, studio head Pierre Hintze wrote that "we've made the difficult decision to restructure elements of our team, which means some roles are being eliminated." https://t.co/GhjZLz6m7V
— Jason Schreier (@jasonschreier) January 18, 2023
On the other hand, he adds:
“Joe Staten, who joined 343 in 2020 to steer Halo Infinite toward the finish line, is leaving the studio to rejoin Xbox Publishing.”
Likewise, the process for determining which employee to fire has also been detailed. Managers were asked to flag employees who did not perform as expected. If not, they would have undergone a coaching process lasting around six months to assess their performance. It should be clarified that Microsoft will terminate the employees without prior coaching if the HR department considers their performance inappropriate.
Header: 343 Industries