FuturLab has announced a reduction of its workforce, letting go of seven members of its team after the company decided to cancel a development effort that was unrelated to its flagship title, PowerWash Simulator. The decision was communicated by CEO Kirsty Rigden in an interview with the outlet This Week in Video Games, where she explained that the cancelled project had never moved beyond the pre‑production stage. According to Rigden, the venture was projected to cost more than the revenue it could realistically generate, and continuing to fund it would not have been a sound business move. In the same statement, Rigden emphasized that FuturLab remains wholly dedicated to delivering the best possible experience for PowerWash Simulator 2.
She added that the studio is simultaneously exploring new concepts for future games, a process that requires a clear view of the studio’s long‑term plans and resource needs. "We have to look at where we’re heading and what we need to sustain the studio," she said, indicating that the staffing cuts were part of a broader strategic review. Rigden expressed personal disappointment about the layoffs, noting that the affected individuals are highly skilled and many have been with FuturLab for an extended period. "These are people I respect deeply and have worked closely with for years.
It was a painful decision, but making tough choices early on helps protect the company’s future stability," she remarked. When pressed about whether the departures were formally classified as redundancies, Rigden declined to provide further details, citing the confidentiality of a legally binding process. Anonymous sources familiar with the situation told This Week in Video Games that the cancellation of the side project was announced by Rigden in late June. The project, which had reportedly been in development for two to three years, was apparently left in a state of limbo, with staff members left without new assignments for several weeks.
By July, seven employees were formally let go, and sources claim that their direct supervisors were not informed in advance about the impending departures or the reasons behind them. According to the same sources, a meeting held in August featured FuturLab’s chief operating officer, Chris Mehers, who outlined a restructuring of the studio. In a follow‑up session, employees were reportedly instructed to avoid using the term "redundancy" when referring to the departing staff, instead labeling them as "the leavers." This language choice was allegedly intended to soften the perception of the cuts and reduce the stigma attached to the exits.
Further details suggest that the seven individuals who left were not slated to work on PowerWash Simulator 2, and management assured the remaining team that their departure would not hinder the development timeline for the sequel. Managers and team leads were said to have been excluded from the selection process for the layoffs, a move described by sources as an effort to shield them from guilt and to spare the affected employees from prolonged uncertainty about their job security during the two‑week transition period.
The broader context of FuturLab’s development strategy was previously discussed in an interview with GamesIndustry.biz, where Rigden talked about the studio’s ambition to juggle multiple projects simultaneously. She highlighted that FuturLab is actively pursuing a second, as‑yet‑unnamed game, emphasizing the desire to diversify beyond the PowerWash brand. "We’ve always tried to work on two projects at once… we have another game that I’m really excited about. We don’t want to be known only as a PowerWash studio… we’re constantly asking ourselves, ‘What else can we create?’" she said.
The decision to cancel the non‑PowerWash project and the subsequent staff reductions reflect a common challenge in the indie game industry: balancing creative ambition with financial viability. Small studios often operate on tight margins, and a single project that fails to meet revenue expectations can jeopardize the entire operation. By cutting the project early, FuturLab aimed to avoid sunk‑cost fallacy and preserve resources for its core franchise and future experiments.
Industry observers note that the handling of redundancies can have lasting effects on a studio’s reputation and employee morale. The choice to avoid the word "redundancy" and to refer to departing staff as "the leavers" may be seen as an attempt to manage internal optics, but it also raises questions about transparency and communication within the company.
Clear, compassionate communication is generally regarded as best practice when navigating layoffs, as it helps maintain trust among remaining staff and can mitigate the negative impact on the studio’s public image. In summary, FuturLab’s recent workforce reduction was driven by the cancellation of a long‑running side project that was deemed financially unsustainable. While the company remains committed to delivering PowerWash Simulator 2 and exploring new game ideas, the layoffs underscore the precarious nature of game development for smaller studios.
The situation also highlights the importance of clear communication strategies during restructuring, as the company’s approach to terminology and managerial involvement has drawn attention from industry watchers and former employees alike.