The company that makes the Just Cause video games, Avalanche Studios Group, has shut down its offices in New York and Montreal. Because of this, 50 people have lost their jobs.
On its website, Avalanche said these job cuts affect about 9 percent of their workers around the world. “This is a very hard decision, but we think it’s needed to keep the company stable and strong for the future,” they wrote.
“We are now focusing on helping everyone at Avalanche get through this tough time. We are thankful for the important work of those who are leaving and we still aim to make amazing games for our players.”
Avalanche started more than 20 years ago and used to have five offices in Stockholm, Malmo, Liverpool, New York, and Montreal. They have worked on games like Just Cause, Rage, Mad Max, and the Hunter.
Just Cause Developer Avalanche Closes Two Studios
Today’s news is part of the many job cuts happening in the video game industry. Big companies often say they need to cut jobs to stay strong in a shaky economy. Now, Avalanche Studios Group is doing the same thing. Interestingly, Avalanche is closing its Montreal office only eight months after it opened.
Just Cause developer Avalanche closing two studios and laying off 50 workers
The company will be shuttering its studios in New York and Montreal to ensure a “sustainable future.”https://t.co/9vNjMGG4Cr pic.twitter.com/QQyqcmUTbW
— Game Developer (@gamedevdotcom) June 4, 2024
Avalanche Montreal opened in October 2023 after Avalanche bought and included the team from Monster Closet. The Montreal team was supposed to help with making new and current games, but now they’ve lost their jobs.
Before expanding to Montreal, Avalanche made a deal with its workers in Sweden who wanted to unionize. This two-year agreement will apply to all employees in Sweden, making sure their pay and benefits are consistent.
Layoffs Impact 50 Employees
In a message on their website, the company said they had to close these offices to make sure the company stays strong and stable in the future.
They also said they are focusing on helping the employees who are affected. They thanked these employees for their hard work and promised to keep making great games for their players.
The Montreal office was new, having opened last October after they bought another company called Monster Closet Games.
The New York studio opened in 2011 and had job cuts in 2015, along with the Stockholm office, after they released the games Just Cause 3 and Mad Max.