FuturLab announced that seven members of its team have been let go after the studio decided to terminate a development effort that was not connected to its flagship title, PowerWash Simulator. The decision was communicated by the company’s chief executive officer, Kirsty Rigden, during an interview with the outlet This Week in Video Games.

Rigden explained that the cancelled undertaking was still in the pre‑production phase when the company concluded that the projected revenue would not justify the anticipated costs. "Continuing with it would not have been a sensible decision," she said, emphasizing that the financial outlook simply did not support further investment. In the same statement, Rigden reassured fans and stakeholders that FuturLab remains fully dedicated to delivering the best possible sequel to PowerWash Simulator. She added that the studio is also actively prototyping new concepts for future games, a process that requires a clear view of the studio’s long‑term staffing needs and strategic direction.

"This is awful because these are people who are incredibly talented and many have been with us for a long time, and I really, really appreciate them," Rigden said. "It was not an easy or quick decision, but by making difficult choices early we protect FuturLab’s future." When pressed about whether the departures were formally classified as redundancies, Rigden declined to provide further detail, citing confidentiality and a legally binding process. This lack of clarity has fueled speculation among industry observers.

According to anonymous sources cited by This Week in Video Games, Rigden first disclosed the cancellation of the side project in late June. The venture, which had reportedly been in development for two to three years, was apparently left in a state of limbo, with the staff assigned to it receiving no new assignments for several weeks.

By July, the seven individuals directly involved in the cancelled effort were said to have been made redundant. Sources claim that managers and team leads were not informed ahead of time about the impending departures, nor were they given an explanation for why their direct reports would be leaving.

In August, FuturLab reportedly held a meeting in which chief operating officer Chris Mehers described the situation as a restructuring of the studio. During a subsequent gathering, employees were allegedly instructed to avoid using the term "redundancy" when referring to the departing colleagues, instead labeling them as "the leavers." This terminology was apparently chosen to soften the perception of the cuts and to maintain morale among the remaining staff. The internal communications also reportedly emphasized that the seven former employees were not required for the development of PowerWash Simulator 2, and that their exit would not jeopardize the upcoming sequel. Managers and team leads were said to have been deliberately excluded from the selection process for the affected staff, a move described as an effort to spare them from guilt and to reduce the emotional strain on the individuals being let go.

According to the sources, this approach was intended to avoid a situation where the impacted employees would spend two weeks uncertain about their job security. The broader context of FuturLab’s strategy was previously discussed in an interview with GamesIndustry.biz, where Rigden outlined the studio’s ambition to work on multiple projects simultaneously.

She expressed excitement about a new, unnamed game in development, noting that the company does not want to be pigeonholed as a "PowerWash studio" and is constantly exploring other creative directions. "We've always tried to do two projects at once… so we've got another game which I'm really excited about.

We don't want to just be a PowerWash studio... We're always thinking about, 'What else could we do?'" she said. Industry analysts note that the decision to cancel a non‑core project and reduce staff, while painful, can be a pragmatic step for a mid‑size studio seeking to preserve its financial health and focus resources on its most promising titles. The move also reflects a broader trend in the video game industry, where studios must balance creative ambition with realistic budget constraints, especially in an environment where development costs continue to rise.

For the seven former employees, the transition may involve navigating severance packages, potential non‑compete clauses, and the search for new opportunities within a competitive job market. The use of euphemistic language such as "the leavers" rather than "redundancies" suggests an attempt by FuturLab’s leadership to manage the narrative both internally and publicly, perhaps to mitigate negative press and maintain a positive brand image. Overall, FuturLab’s recent restructuring underscores the challenges faced by independent developers who aim to expand beyond a successful flagship title while remaining financially viable. The studio’s commitment to delivering a high‑quality sequel to PowerWash Simulator, alongside the pursuit of new, innovative projects, will be closely watched by both fans and industry watchers as the company navigates this period of transition.