Layoffs articles

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This $10 bundle of 100+ DRM-free games means to support laid-off game developers

The collection includes titles like A Short Hike, Eldritch, and Holedown, with more being added through August 13
Why it matters: The video game industry has seen a historic wave of layoffs in recent years, with thousands of workers impacted in the last few weeks alone. To support some of the developers affected, indie game storefront itch.io is collaborating with an industry union to sell a collection of over 100 heavily discounted games.
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Microsoft is cutting 3,200 Xbox jobs and spinning off four game studios

Cutting corners: The first wave of massive layoffs that Microsoft teased several weeks ago has arrived. Most of the losses will hit the Xbox division over the next year as the company consolidates its gaming strategy. Microsoft will spin off Compulsion Games, Double Fine, Ninja Theory, and Undead Labs, while Arkane enters labor negotiations. Bethesda, ZeniMax, id Software, Activision, Obsidian, and Microsoft's accessibility team will all see deep cuts.
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The AI boomerang effect: more data suggests employers are reversing AI layoffs

Studies find up to 50% of companies that replaced workers with AI are rehiring or expressing regret
Connecting the dots: Generative AI has been blamed for hundreds of thousands of layoffs over the past year, but evidence that companies moved too quickly to automate white-collar jobs is steadily mounting. Multiple recent studies suggest that many employers are refilling recently eliminated positions after overestimating AI's productivity gains and cost savings.
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Tech layoffs have already passed 100,000 in 2026 as the industry cuts jobs to fund AI

Meta, Cisco, Intuit, and PayPal lead a wave – 2026 is shaping up to be brutal
A hot potato: Tech sector job losses in early 2026 have already surged past 100,000, and the past month suggests the trend is not subsiding. While AI automation is likely not the sole cause, aggregated reports suggest it is the leading factor, with Meta's transition into an "AI-first" company headlining May's damage to the job market.