FuturLab has announced a reduction in 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, which was communicated by CEO Kirsty Rigden in an interview with the outlet This Week in Video Games, stemmed from a financial assessment that indicated the project would cost more to complete than the revenue it was expected to generate.

Rigden explained that the initiative was halted while still in the pre‑production phase because continuing would not have been a prudent business move. In her statement, Rigden emphasized that FuturLab remains fully devoted to delivering the best possible experience for PowerWash Simulator 2, while also exploring new concepts for future games. She noted that this strategic focus required the studio to re‑evaluate its long‑term plans and resource requirements.

"This is a painful situation," Rigden said, acknowledging the talent and tenure of the affected employees. "These are incredibly skilled people, many of whom have been with us for years, and I have a deep appreciation for their contributions.

The decision was neither easy nor swift, but making tough choices early helps safeguard FuturLab’s future stability." When pressed about whether the departures were formally classified as redundancies, Rigden declined to provide further details, citing confidentiality and legal constraints surrounding the process. Anonymous sources familiar with the situation told This Week in Video Games that the cancellation was first announced in late June, after the project had been in development for roughly two to three years. According to one source, the staff who had been working on the cancelled title were left without new assignments for several weeks, creating a period of uncertainty.

The seven individuals who were ultimately let go were reportedly made redundant in July. Sources close to the studio indicated that managers and team leads were not informed in advance that their direct reports would be departing, nor were they given an explanation for the sudden change. In August, a meeting was convened during which FuturLab’s chief operating officer, Chris Mehers, described the situation as a restructuring of the studio.

In a subsequent briefing, employees were instructed to avoid using the term "redundancy" and instead refer to the departing colleagues as "the leavers." According to the reports, staff were also told that the remaining team members would continue to work on PowerWash Simulator 2 without any impact from the departures, suggesting that the cancelled project’s staff were not required for the sequel’s development. Managers and team leads were allegedly excluded from the selection process for the affected employees, a move the company claimed was intended to shield them from guilt and to reduce the emotional strain on those being let go, who would otherwise have faced two weeks of uncertainty regarding their job security. The broader context of FuturLab’s development strategy has been discussed in previous interviews.

GamesIndustry.biz previously spoke with Rigden about the studio’s future direction, during which she highlighted the company’s ambition to juggle multiple projects simultaneously. "We’ve always tried to work on two games at once," Rigden said. "We have another title in the pipeline that I’m really excited about. We don’t want to be known solely as a PowerWash studio; we’re constantly asking ourselves, ‘What else can we create?’" The cancellation of the non‑Powerwash project and the subsequent staff reductions underscore the challenges faced by mid‑size independent studios that must balance creative ambition with fiscal responsibility.

While FuturLab continues to invest heavily in its flagship series, it also seeks to diversify its portfolio, a goal that can be jeopardized when a project fails to meet financial expectations. The handling of the layoffs, including the directive to avoid the term "redundancy," has drawn criticism from observers who argue that transparent communication is essential for maintaining morale and trust within a development team. Industry analysts note that such restructuring is not uncommon in the video game sector, where project timelines, funding cycles, and market reception can shift rapidly. However, the manner in which a studio manages personnel changes can have lasting effects on its reputation among developers and potential future hires.

By framing the departures as "the leavers" rather than acknowledging them as redundancies, FuturLab may be attempting to soften the perception of job loss, yet it also risks appearing evasive. Looking ahead, FuturLab has signaled its intent to continue supporting PowerWash Simulator 2 while pursuing new creative ventures.

The company’s leadership appears confident that focusing resources on its core product and carefully selecting future projects will position the studio for sustainable growth. Whether the studio can successfully navigate the delicate balance between expanding its game library and maintaining a stable, motivated workforce remains to be seen, but the recent events provide a clear illustration of the tough decisions that independent developers must sometimes make in a competitive industry.