The leader of Undead Labs expressed hesitance in disclosing the specific number of employees affected by recent layoffs, stating, "I would hate to reduce the impact to those individuals to a number or statistic"
Philip Holt, head of Undead Labs, expressed his hesitation to disclose the number of staff affected when the company separated from Xbox. "It was heartbreaking to have to part ways," he stated in an interview with The Game Business, indicating that he did not want to reduce the experiences of individuals to mere statistics.
Holt admitted to being notably open with the workforce while Undead Labs was transitioning to being an "employee-owned studio." He stressed the importance of transparency, saying, "I tried to visualize myself in their position. Facing uncertainty about job security and wondering about the completion of the game was distressing for them."
Holt discussed the anticipation of potential job losses early, allowing employees to be mentally prepared for the possibility, making the unfortunate situation more bearable. "While losing a job is never easy, the team understood the necessity," he explained, pointing out that this approach prevented the company from being seen as inflicting unnecessary harm.
To achieve their autonomy from Xbox, Holt formed a corporate body known as Full Measure, effectively making all employees stakeholders in the firm. "I wasn't the initial founder nor did I gather startup funding," he remarked, emphasizing that the value of the company stems from the collective effort of the team.
Prior to gaining independence, Undead Labs attracted significant interest. Holt elaborated on opting for a management buyout, similar to other game companies, and saw opportunity in raising the required capital independently. The proposal found favor with Microsoft.
During a major restructuring, Undead Labs was included among five studios separated from Xbox, a move affecting 3,200 workers. Compulsion Games and Double Fine have also declared their independence. Meanwhile, Arkane Lyon is still in discussions, and Ninja Theory has initiated staff layoffs after failed negotiations.