The Human Cost Of Layoffs | Spot On
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- Опубликовано: 11 июн 2024
- 2023 has been one of the greatest years for video games, but one of the absolute worst for the industry. With over 6000 layoffs this year alone, Tam and Lucy discuss the human cost.
#gaming #Destiny2 #Bungie #gamespot
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2023 has been a rollercoaster for many reasons, but the video game industry in particular has hit some soaring highs and real tragic lows. This year has been fantastic for game releases in terms of quality, as we've had incredible experience across all platforms, from big-budget blockbusters and fascinating role-playing games to thoughtful, innovative indie titles. At the same time, however, the business of video games has been harsher than ever, with layoffs impacting many developers and studios.
It's easy to lose sight of the broader and lasting impact that this can have on the health of the video game industry, especially when so much of it is discussed in terms of business factors. On this episode of Spot On, Lucy and Tamoor talk about what's going on in the industry as it pertains to layoffs, but they focus on the human element, what it does to people, and how it could result in hurting the industry long-term.
Timestamps:
00:47 - Breaking down the layoffs
01:47 - Why the layoffs are happening
04:34 - The human cost
06:34 - How layoffs make games worse 
Игры
All the big game companies do is buy smaller studios, force them to push a game out so quick that it gets panned, then they reduce the staff because the game got panned and they need to "save money".
This industry is eating itself.
The industry should really learn from how Nintendo does things. Their not perfect, but at least they don't buy up other games developers. They also know how to retain their employees and not have overblown budgets for games.
I have no obligation to spend 70$ and buy a game just to keep people employed. If game companies don’t want to fire people, then they should put out better products. Most of the time, layoffs are just the result of the free market: you make a bad game, you go broke. Simple as that.
Imagine not spending money to "change hands" on the ownership of studios but instead using it to pay the salaries and other costs for the studios to make games...
100%, theres even real numbers to back this too. theres an article I found that shows the Billions sitting on the sidelines with all AAA game companies. Essentially they are hoarding cash, and doing everything possible to cut costs to put more into the reserve..............goes to show that most of these companies are not willing to spend the money on investing in projects that could potentially fail, They rather let an independent studio do that experimentation, and take on the risks to eventually develop what will later become the next cash cows of the buisness. Thats what these billions on the sidelines are sitting there for. its to aquire them once they figured out the magic formula
As a person who WAS working in the industry, thank you for this video.
In a way it's all by design beyond the games industry.
The economy was hot and inflation is high. Unemployment was low and workers were demanding more. So they raised interest rates to slow all that down.
The cost of borrowing skyrocketed, so companies are investing less, and now we see layoffs.
It's class warfare, with the government on the side of capital
So long story short a market correction due to government fck up
Also this is basically happening in every industry right now.
Executive pay, stocks, and bonuses should get the axe, not their employees entire livelihoods.
So.... Are we gonna advocate for a Game Developer Union?
Yes.
Yup
100% 🚨
I'm a union member, being in a union doesn't stop layoffs.
@@Kwizats245 but it can provide protections, such as not being without healthcare within hours of being let go
This is part of the reason I never pursued game dev when choosing my major in college many years ago. Way too small in terms of openings and companies, then the high risk of layoffs after launch. Way too risky.
I always look forward to these quick little podcasts.
It's kind of been a recession within game studios.
Either with games under preforming, or the estimated profits were overestimated.
Also, these mega corporations buying smaller game studios just begs for massive layoffs.
Great topic guys, A conversation that need to happen more
Game devs 100% need to unionize. And honestly that goes for most industries today. Workers are being bled dry.
Edit: Absolutely not indulging debate lords. I said my piece, and I'll leave it at that.
The average game developer earns over 100k a year with bonuses and perks most of us will never dream of. Wish I could be bled dry like that
I have no obligation to spend 70$ and buy a game just to keep people employed. If game companies don’t want to fire people, then they should put out better products. Most of the time, layoffs are just the result of the free market: you make a bad game, you go broke. Simple as that.
Neil and Moses clocking in defending capital.
@@kingsley3208 The game industry is an...industry. The goal is to make money. If you care so much about laid off workers, feel free to buy a thousand copies of Halo 6 and keep those Microsoft game designers employed. If you want to keep your jobs, start making better products that sell well. Stop defending poor quality games coming from billion dollar corporations, Kingsley.
@@mosesking2923 bungie has made serval of the most successful videogames of all time. the insatiable desire for larger profits is what inevitably destroys.
I actually somewhat recently graduated with a Master's in Game Design, so you can imagine how discouraging it was to graduate with no jobs available. Thankfully, I was lucky enough to join an indie studio, but that was a time for while there were it was looking like all the money, years, and energy I spent on education for learning game development would've gone to waste. It's depressing to think about.
I was laid off yesterday. I'm not in the gaming industry but an engineering one and its so heartbreaking. Funny how this story pops up at that time.
I worked in gaming industry, but in the server side. I moved on to other industries but every time I read news on layoffs, I know that the ones laid off are putting 60-80h work weeks under a lot of pressure and trying to make the both ends meet :(((
But on the bright side, in terms of engineering and technical software development, what you learn in gaming industry is extremely useful outside of the industry too and will surely give you a headstart compared to other areas
8:21 this is me. I’m literally in college right now, being taught game design by some of the best in the business. Looking at the games industry landscape Is honestly terrifying. Like, I’m thankful to live in Austin where plenty of studios have popped up, but it’s like stepping out onto a patch of ice that you’ve just seen break under 9000 people’s feet.
Really enjoying these videos from these two!!!
I have been waiting for you guys to talk about this
Excellent piece- the creatives are being punished. Hope they all find a stable home soon.
How are they being punished? No one owes anyone a job
@@neilranson4185 imagine if execs gambled on their position and ended up not paying off - that’s a punishment
@@gamesandtings I have no obligation to spend 70$ and buy a game just to keep people employed. If game companies don’t want to fire people, then they should put out better products. Most of the time, layoffs are just the result of the free market: you make a bad game, you go broke. Simple as that.
@@mosesking2923 was “obligation” word of the day or something? You’re both fighting strawmen. Good luck G, hopefully you won’t be laid off soon 👍
@@gamesandtings Unlike game developers, I manage to create a high quality product that people pay money for. That’s why the game industry is an “industry.” If a developer makes a poor quality game, they can expect low sales and layoffs. If you care so much, feel free to buy a thousand copies of Halo 6 and keep those Microsoft developers afloat.
Businesses are typically customer or profit focussed. We have had an overly long period of large profit focused games companies.
The Layoffs are heartbreaking...
Unionization is the only way to save the game industry.
“Gotta please those shareholders”. Yeah you f’ing dope, EVERY COMPANY IS OWNED BY THE SHAREHOLDERS.
Remember when the mines were closed down? When the car industry was decimated? When the ship and steel industries collapsed? Even when uk local government decided privatising services was a good idea…sadly it’s not new. In any line of work no one is indispensable
Learn to code goes to learn a trade
…on another topic… where do you get your t shirts, Tam?
We gonna advocate for management just taking a pay cut instead of layoffs of the innocent
Simple opinion: there are thousands of games out there from the last 30 years or so, which are highly praised and which I haven't even touched. Even if the whole industry complete implodes there is enough to play until the end of my life.
you'll have all the time in the world to play during your AI furlough
Interesting sweater sleeves...
Unity is not profitable, but if you take away executive compensation, it is.
Unions are the only answer. Corporations only care about the shareholders. Everyone else is expendable.
Could be a chance to join indie developers and make there games even better and learn from each other.
Expand this criticism to every industry and laborers develop class consciousness and maybe things can change. May Day 2028, general strike.
People earn more now for labour than in any time in human history. Your about 200 years late
@@neilranson4185while cost of living is higher than ever before too
people are more productive than any time in human history. Should they not be compensated for their increased productivity? All profit is extracted from a laborer added value.
@@afroponix3414 I have no obligation to spend 70$ and buy a game just to keep people employed. If game companies don’t want to fire people, then they should put out better products. Most of the time, layoffs are just the result of the free market: you make a bad game, you go broke. Simple as that.
@@afroponix3414 they are rewarded. Average game dev salary is over 100k a year
When it comes to Nintendo, love them or hate them. You have to admit, they know how to tell keep their developers happy and unwilling to go anywhere else.
True, though they will get hit too. The best run companies start laying off when a global recession truly reveals itself. The Japanese tradition of execs taking pay cuts will not be able to compensate.
I give Nintendo Credit every chance I get because they have kept the old values. Games are complete on release. Bug Free and beautiful. They will work on a Game for however many years it takes to reach their level of quality ; )
It's not a coincidence that Nintendo games are made in Japan and they rarely own any western studios
its the 2012 recession all over again
PUPPET LUCY!
Layoffs are bad period. No matter the industry. I feel like vids like these make it seem like it only happens to people in games industry or that they have it worst. If a company thinks a department let alone a few employees is not necessary to be kept around, they won't even think twice to hesitate to getting rid of it.
I also think people like Tam and Lucy can't speak for these layoffs when they themselves participate and sponsor all these company/PR events for games.
In that way, Lucy and Tam actually support these companies by sponsoring them.
You can't feign disgust while do/endorse advertisements for the same games publishers that order these layoffs.
that is the weirdest jacket iv ever seen. I was super distracted looking at her elbows in bewilderment lol
Tam always looks like he literally just got woken up out of a deep sleep to record a video.
Building back better eh?
Good ol taxation without representation right??
Organize! Unionize!
Why is everything “the worst” these days
DEI is killing it..
Well, on the plus side now they have more time to learn to code 🤣
Hao
Microsoft have been the worst they've laid off like 10K of the past year or so
More than Sony, idk recently lol
Is that a confirmed number or a rough estimate?
They are a private company they get to lay off who they like. No one owes anyone a job
Most of that wasn't even the gaming department. It was things AI could replace easily like customer service stuff.
IBM did the same and claim the same but unlike Microsoft, IBM said they plan to lay off over 30,000 more jobs due to AI over the next 3 to 5 years. This said at the start of the year.
All industries are facing layoffs
Wow. That’s so insightful of you. You really contributed a lot to this discussion. Thanks.
For us players. Stop buying AAA games, start buying AA games and indie games.
It is bad in pretty much every industry. That is a negative byproduct of cyclicality. Many people never even got a chance to start a career of their choice, so those getting laid off after years in their desired field of work are relatively lucky.
As for being kind to others, please be careful with who you choose to show kindness. Most people will make you their doormat if given the chance.
Thats business. Jobs become redundant. Or New management comes in and reallizes a toon of positions do nothing . Its necessary .
You ever been laid off?
What's happening right now is call a market correction brought on by government @@kingsley3208
@@kingsley3208 yes?
Well if its bad devs being laid off, i dont care. Like the entire team from gollum or the kong game specifically. Some people are meant to be replaced
Same with any trade, the more experience you have, the more wages you should be paid, employers then dump you for the next gen of eager kids to get employed in their place as they keep their wage costs low …and so the cycle goes on. It’s definitely more prevalent in the digital world than the physical. The digital world is more cutthroat than any other any industry in my eyes.
I have no obligation to spend 70$ and buy a game just to keep people employed. If game companies don’t want to fire people, then they should put out better products. Most of the time, layoffs are just the result of the free market: you make a bad game, you go broke. Simple as that.
These developers are making ungodly amount of money and are some of the most obnoxious people on the face of the earth. Y'all talking about laying off like it's a new thing started in recent years 😂 The good ones still have a job. The other group are not working anymore. And the shareholders will always hold the strings. No matter the number of the workforce.
The irony of IGN posting this
Gamespot is ign now
Don't care, they should learn to code.
Wow that girl cant shut up for 3 seconds while he is trying to explain something.
poor developers might have to get manual labor jobs like the rest of us. Cant cry about crunch time when your a linemen or the developers cant turn on their computers
You dont see the women and men in the oil and gas industry crying about getting laid off
I have no obligation to spend 70$ and buy a game just to keep people employed. If game companies don’t want to fire people, then they should put out better products. Most of the time, layoffs are just the result of the free market: you make a bad game, you go broke. Simple as that.
I love video games and I respect developers BUT it is more of a leisure job. It's hard to feel bad for these people when they chose these jobs. No one is forcing them to make video games for a living... 😂
Publishers and their share holders caused this problem all by themselves.
Every Game that released complete, bug free and political free with no micro transactions has seen success. The Greed is what is messing everyone up and the worker pays the price.
Look at Nintendo. Only one version of Games (so no pay walling and milking extra money). No micro transactions and no politics.
Doesn't matter if they need 2-7 years dev time to reach their level of quality. They will do it and are rewarded every single time.
Also when Publishers spend 60+ Million just on promotion, it means the Game HAS to sell insanely high.
What about the human cost of wokeism? Also you'll probably find most of those layoffs are because of just that. Better get that die out of your hair and start acting like a human being. Maybe they'll overlook you.
boo have a cry
Y'all must've seen my comments on Facebook...