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 not connected 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 project was halted during its pre‑production phase because financial forecasts showed that the anticipated revenue would fall short of the projected costs. "Continuing with it would not have made sense from a business perspective," Rigden said, emphasizing that the studio needed to prioritize resources that would deliver a positive return on investment. Rigden also highlighted that FuturLab remains fully dedicated to delivering the best possible experience for PowerWash Simulator 2, while simultaneously exploring new concepts for future titles.

She noted that this strategic focus required a reassessment of the studio's long‑term plans and staffing needs. "These are incredibly talented individuals, many of whom have been with us for years, and I have a deep appreciation for their contributions," she added. "Making this kind of decision was neither easy nor swift, but taking tough actions early helps safeguard the company's future stability." When pressed about whether the seven employees were dismissed through a formal redundancy process, Rigden declined to provide specifics, citing confidentiality and legal constraints surrounding the matter. She indicated that the details of any legally binding procedures could not be disclosed publicly.

According to anonymous sources who spoke with This Week in Video Games, the cancellation of the side project was announced by Rigden in late June. The venture, which had reportedly been in development for between two and three years, was left in limbo, with staff members reportedly left without new assignments for several weeks. By July, the seven individuals affected by the cut were said to have been officially made redundant.

Sources also claimed that managers and team leads were not informed ahead of time about which of their direct reports would be leaving, nor were they given an explanation for the departures. In August, a company‑wide meeting was reportedly held, during which FuturLab's Chief Operating Officer, Chris Mehers, described the organization as undergoing a restructuring phase.

In a subsequent session, employees were instructed to avoid using the term "redundancy" when referring to the departing staff, instead labeling them as "the leavers." This terminology was apparently chosen to soften the language around the layoffs and to mitigate any potential stigma attached to the affected workers. The internal communications also conveyed that the seven staff members would not be required for the development of PowerWash Simulator 2, and that their exit would not hinder the progress of the upcoming sequel.

Moreover, managers and team leads were allegedly excluded from the decision‑making process regarding which individuals would be let go, a move that was described as an effort to shield them from personal guilt and to reduce the emotional burden on the staff who were being dismissed. According to the sources, this approach was intended to spare the affected employees the anxiety of not knowing their job security for the two‑week period that the process spanned. Earlier, GamesIndustry.biz had interviewed Rigden about FuturLab's future direction, including the now‑canceled project. During that conversation, Rigden expressed a desire to diversify the studio's portfolio beyond PowerWash Simulator.

She said, "We've always tried to run two projects at once, so we have another game that I'm really excited about. We don't want to be just a PowerWash studio...

We're constantly asking ourselves, 'What else could we do?'" The broader context of the layoffs reflects a common challenge in the video‑game industry, where studios must balance creative ambition with financial viability. Pre‑production phases often involve substantial investment in concept development, prototyping, and market analysis.

If early projections indicate that a game's potential earnings will not cover its development costs, studios may opt to cancel the project before committing further resources. While such decisions can protect a company's long‑term health, they also have immediate human consequences, as seen in FuturLab's recent staff reductions. Industry observers note that the language used by companies during layoffs can significantly affect morale and public perception. By directing staff to refer to departing colleagues as "the leavers" rather than using the term "redundancy," FuturLab appears to be attempting to frame the situation in a less negative light.

Critics, however, argue that euphemistic language may obscure the reality of job loss and can be perceived as an attempt to downplay the seriousness of the cuts. The seven employees who were let go had reportedly contributed to the canceled project's development over several years, gaining experience in various aspects of game design, programming, and art production. Their sudden departure underscores the volatility that can accompany long‑term projects in a rapidly evolving market.

While FuturLab assures that the remaining team will continue to focus on PowerWash Simulator 2 and new, undisclosed titles, the incident serves as a reminder of the precarious nature of employment within creative tech sectors. Looking ahead, FuturLab's leadership appears committed to maintaining a leaner operation while still pursuing innovative ideas. The studio's emphasis on prototyping and exploring multiple concepts simultaneously suggests that future projects may be approached with tighter financial controls and more rigorous market testing. This strategy could help prevent similar cancellations and the associated workforce impacts.

In summary, FuturLab's recent staff reductions stem from the cancellation of a non‑PowerWash Simulator project that was deemed financially untenable during its early development stages. The company has emphasized its ongoing dedication to PowerWash Simulator 2 and hinted at new, exciting ventures on the horizon. At the same time, the handling of the layoffs—particularly the instruction to avoid the term "redundancy"—has attracted attention and sparked discussion about transparency and employee treatment within the gaming industry.