FuturLab announced that seven members of its team have been let go after the company decided to terminate a development effort that was unrelated to its flagship title, PowerWash Simulator. The decision was communicated by CEO Kirsty Rigden in an interview with This Week in Video Games, where she explained that the cancelled project never moved beyond the pre‑production stage. "We realised the financial outlook didn’t justify the continued investment – the projected revenue would not have covered the costs," Rigden said.

"Continuing would have been imprudent, so we chose to stop the work before it escalated further." Rigden emphasized that FuturLab remains fully devoted to delivering the best possible sequel to PowerWash Simulator while also exploring fresh concepts for future titles. She noted that this strategic shift required a careful review of the studio’s long‑term plans and resource needs. "It’s painful because these are incredibly skilled individuals, many of whom have been with us for years, and I have a deep appreciation for their contributions," she added. "The decision was neither easy nor swift, but making tough choices early helps safeguard the company’s future stability." When pressed about whether the seven staff members were dismissed through a formal redundancy process, Rigden declined to provide further specifics, citing confidentiality and legal constraints surrounding the matter.

According to anonymous insiders who spoke to This Week in Video Games, the announcement to halt the side project was made in late June. The venture had reportedly been under development for two to three years, but progress stalled as the team encountered technical and design challenges that pushed the projected budget beyond realistic expectations. One source claimed that, after the cancellation, the employees attached to the project were left without new assignments for several weeks, creating uncertainty about their roles within the studio. By July, the seven individuals were reportedly made redundant.

Sources indicated that their direct supervisors and team leads were not informed in advance about the impending departures, nor were they given a clear rationale for the sudden changes. In August, a company‑wide meeting was held during which Chief Operating Officer Chris Mehers allegedly described the situation as a restructuring effort. In a follow‑up session, staff were instructed to avoid using the term "redundancy" and to refer to the departing colleagues as "the leavers." The guidance also suggested that the remaining team members were told the exits would not affect the development timeline of PowerWash Simulator 2. Managers were reportedly excluded from the selection process for the affected employees, a decision the leadership said was intended to shield them from guilt and to reduce the emotional strain on those being let go, who would otherwise endure a two‑week period of job‑security uncertainty.

The episode has sparked discussion within the gaming industry about how studios handle workforce reductions, especially when projects are cancelled mid‑stream. Critics argue that transparency and clear communication are essential to maintaining morale, while others note that legal and reputational considerations often dictate a more measured approach. FuturLab’s previous conversations with GamesIndustry.biz revealed that the studio has a habit of running two projects simultaneously. Rigden has expressed excitement about a new, undisclosed game that the team is prototyping, underscoring the studio’s desire not to be pigeon‑holed as a "PowerWash"‑only developer.

"We’ve always aimed to diversify our portfolio," she said. "We want to keep asking ourselves, ‘What else can we create?’" In summary, FuturLab’s recent staff reductions stem from the cancellation of a long‑running, non‑PowerWash project that failed to meet financial expectations. The company’s leadership framed the move as a necessary step to protect the studio’s long‑term health and to concentrate resources on its flagship sequel and upcoming experimental titles.

While the process has been described as confidential and legally bound, reports from inside sources suggest a lack of communication to mid‑level managers and an effort to soften the language around layoffs. The situation highlights the delicate balance studios must strike between fiscal responsibility, project ambition, and the well‑being of their employees.