"They've watched so many people lose their jobs, that has an impact" – Managing morale in the wake of layoffs

Tens of thousands of jobs have been lost across the games industry in recent years, leaving many who remain employed feeling demoralized and uncertain. Emma Smith, a former Creative Assembly HR manager turned consultant, highlights that repeated rounds of layoffs have left surviving staff anxious and distrustful, requiring more than reassuring statements to restore confidence. Studios must focus on rebuilding trust through honesty, consistency, and follow-through rather than superficial morale-boosting efforts.

Michael Elliott Chan, head of people and operations at Compulsion Games, notes a shift toward job security concerns among employees, with many taking proactive steps like building emergency funds. He emphasizes the importance of regular communication, open-door policies, and personalized check-ins to gauge team morale and address concerns before they escalate. Chan advises focusing on what can be controlled, such as supporting each other and maintaining productivity.

Smith stresses that rebuilding trust is a collective responsibility, not solely HR’s, and that motivation follows trust rather than precedes it. She argues that career development should not be limited to promotions or training courses but can include skill deepening, mentoring, or new project ownership. Honesty about available opportunities is critical to avoid misplaced expectations.

Chan underscores the need for transparent, difficult conversations to prevent staff from ruminating or spreading fear. He advocates for one-to-one interactions over generic company-wide communications to demonstrate empathy, acknowledging the emotional toll on HR teams handling increased workloads and staff anxieties.