Schell Games, the development studio best known for co‑creating the three‑dimensional version of the viral hit *Among Us* and for the critically acclaimed *I Expect You to Die* series, has reportedly begun a round of staff reductions. The news emerged after several employees posted about the layoffs on LinkedIn, prompting coverage by the industry outlet Game Developer.

According to the report, the first wave of cuts started on a Friday, marking the first time the company has ever had to let people go. The studio’s principal engineering manager shared a brief note on his LinkedIn feed, stating, “Schell Games had their first ever layoffs today.” He emphasized that his own position was not among those affected, and added a sobering explanation: “This has happened not because of anything you did or did not do.

Our industry (and beyond) right now is hemorrhaging.” The impact of the reductions was further confirmed by Dwayne Waite Jr., Schell Games’ marketing director, who identified members of the marketing team among those whose roles were terminated. He listed four individuals by name, and the studio’s senior public relations manager later added additional names from the art, design, and visual‑effects departments. When the information from the various posts was compiled, it appeared that roughly fourteen employees had been let go. Schell Games’ LinkedIn company page lists its workforce size as ranging between 51 and 200 employees, so the loss of fourteen staff members represents a noticeable percentage of the team.

One of the affected employees, the senior public relations manager, expressed a mixture of disappointment and pride in a follow‑up post: “I won’t pretend this isn’t a disappointing way to end this chapter, especially after almost six years. But I’m walking away proud of what I accomplished during my time with the company, and I’m grateful for the people I got to build with.” The layoffs are particularly striking because they come at a time when the studio’s founder and chief executive officer, Jesse Schell, has publicly opposed the practice of cutting jobs. In a 2024 interview with GamesIndustry.biz, Schell outlined his philosophy that financial risk should be separated from the risk to employees. He said, “At the heart of it all is choosing not to put jobs at risk.

We’ll put cash at risk when we make a game, but we don’t put jobs at risk.” He went on to explain that even if the studio’s own intellectual property generated no revenue, the company would still retain a path forward that allowed it to keep its staff employed, describing the decision as a matter of choice rather than necessity. Despite those statements, the current economic climate appears to have forced the studio’s hand.

The broader video‑game industry has been experiencing a period of contraction, with many mid‑size developers reporting lower-than‑expected sales, delayed releases, and tighter publishing budgets. This environment has led to a wave of layoffs across the sector, as companies scramble to align payroll with reduced cash flow.

Schell Games, which sits in the middle of the size spectrum, is not immune to these pressures. Industry analysts point out that the shift toward live‑service models and the rising cost of high‑fidelity production have increased the financial stakes for developers of all sizes. Even studios that have historically prioritized employee stability are now forced to reconsider their staffing levels when revenue pipelines shrink. In Schell Games’ case, the company’s portfolio—while diverse and creatively ambitious—relies heavily on partnerships with larger publishers and on the performance of its original titles in a crowded market.

The layoffs also raise questions about the future direction of the studio. Schell Games has built a reputation for blending immersive storytelling with innovative gameplay mechanics, often exploring virtual‑reality experiences and educational games. Its recent projects, such as the VR title *I Expect You to Die 3* and the *Among Us* 3D adaptation, have demonstrated a willingness to experiment with new platforms and genres.

However, sustaining such experimentation requires a steady flow of funding, and the current market slowdown may compel the studio to prioritize projects with more predictable returns. In response to the situation, GamesIndustry.biz has reached out to Schell Games for comment, seeking clarification on how the company plans to navigate the current downturn while staying true to its stated commitment to employee security.

No official statement has been released as of this writing, leaving the community to speculate on whether the recent cuts are an isolated incident or the first of a larger restructuring effort. For the employees who remain, the path forward is likely to involve a mix of reassignment, increased workload, and perhaps a renewed focus on core projects that can generate reliable income. The studio’s leadership will need to balance the desire to maintain creative freedom with the practical necessity of keeping the business solvent. As Jesse Schell previously articulated, the company’s philosophy is to risk cash, not jobs, but the reality of a shrinking market may test that principle in ways that have not been seen before.

Overall, the situation at Schell Games serves as a microcosm of the broader challenges facing the video‑game industry today. While the company has historically championed a people‑first approach, external economic forces are compelling even the most well‑intentioned studios to make difficult personnel decisions.

The coming months will reveal whether Schell Games can uphold its values while adapting to an environment that is, as the engineering manager put it, "hemorrhaging."