Epic Games Takes Drastic Steps: 830 Employees Laid Off
Epic Games' CEO Stabilizes Finances with Major Layoffs
In a significant move, Epic Games, the creator of Fortnite, has announced the layoff of approximately 830 employees, accounting for 16 percent of its workforce. CEO Tim Sweeney conveyed this decision in an open letter to employees, revealing that the company had been spending substantially more money than it was generating. Sweeney stated, “We concluded that layoffs are the only way,” emphasizing that this action, undertaken at this scale, is essential to stabilize the company’s financial situation.
For those affected by the layoffs, Epic Games has promised a severance package comprising six months of base pay and healthcare benefits. Additionally, the company will accelerate the vesting schedule for employee stock options, extending the exercise window by two extra years. Notably, around two-thirds of the impacted positions are outside of the core development teams.