Employment Law

Gameloft Toronto Layoffs: Around 50 jobs cut, production activity slowed

A photo of a person interacting with a computer. (Photo: ELLA DON / Unsplash)

What’s happening at Gameloft Toronto?

Gameloft has fired 49 employees at its Toronto studio due to the current situation in the games market, GamesIndustry.biz reports. A company spokesperson stated that the decision to “implement a reduction in workforce” was “necessary” after a thorough review of their production capacities. Their decision aims to align the studio with the ever-changing market conditions.

Official statement from Gameloft

The company stated that “after careful consideration and in response to the ever-changing market conditions we are facing, it has become necessary to implement a reduction in workforce.”

  • “Unfortunately, this leads us to substantially reduce our production activity in our Toronto studio and to let go some employees of the office.”
  • “This decision has not been taken lightly, and we understand the impact it may have on affected employees. We will be working with them, on a case-by-case basis, to find the best way to handle their situation.”

Employees from the Irvine-based electric vehicle manufacturer have started updating their LinkedIn profiles to signal their availability for new job opportunities, citing the recent layoffs as the reason.

Impact on Gameloft Toronto

The majority of the Gameloft Toronto staff have been laid off.

  • Unaffected teams: Only the HR, IT, and management teams remain unaffected.
  • Disney Magic Kingdoms: The studio’s ongoing project will be transferred to Gameloft’s Kharkiv studio in Ukraine. Additionally, another project in development at the Toronto studio was canceled after the first round of layoffs in February.

Community and industry reaction

Community manager Tasha Huggins confirmed the layoffs in a LinkedIn post, mentioning that it was her last day at Gameloft Toronto. She highlighted the talent entering the job market and encouraged employers to reach out for recommendations on the laid-off employees.

Gameloft previously underwent a second round of layoffs in April, impacting an additional 40 employees. The company’s steps underscore the broader industry trend of adapting to market fluctuations by streamlining operations and focusing on core production capacities.

Your next step

If you have been affected by the layoffs at Gameloft Toronto, continue reading to find out what your rights are, and why you need to contact the employment lawyers at Samfiru Tumarkin LLP.

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Termination agreements for Gameloft Toronto employees

In Canada, non-unionized employees at Gameloft Toronto are owed full severance pay when they lose their jobs due to downsizing, corporate restructuring, or the closure of the business.

This applies to individuals working in any capacity — full-time, part-time, hourly, or potentially even independent contractors — in Ontario, Alberta, and British Columbia.

Severance is the compensation provided to non-unionized workers in Canada by their employer when they are terminated without cause, and can be as much as 24 months’ paydepending on a number of factors.

WATCH: Employment lawyer Lior Samfiru explains why you are still owed severance if you have been downsized on an episode of the Employment Law Show.

Severance offers and deadlines

Before accepting a severance offer, double-check the amount using our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their entitlements.

In addition to your salary, make sure to factor in any other elements of your compensation (i.e. bonuses, commission, etc.).

If your employer’s offer falls short of what our Severance Pay Calculator says you are owed, it’s very likely that you have been wrongfully dismissed and should contact an experienced employment lawyer at Samfiru Tumarkin LLP.

Non-unionized employees in Canada have up to two years from the date of their dismissal to pursue proper severance pay. An employer’s deadline to sign back a severance offer is not legally enforceable or binding.

Severance pay for provincially regulated employees
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Severance entitlements in a recession

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Major layoffs continue

The job cuts at Gameloft come amid a flurry of layoffs in 2024.

Big names, including Timbre Games, Vancity, Stifel, WillScot of Canada, Netflix, McKinsey & Co, EXL Service, Best Buy, Relic Entertainment, Ubisoft, Intel, Amazon, Telus, Canada Goose, Dell, Unilever, IBM, and TC Energy, have pulled out the axe as they continue to navigate challenging economic conditions.

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Where are layoffs happening in Canada?

Lost your job? Talk to an employment lawyer

If you have been fired or let go for any reason, contact the experienced employment law team at Samfiru Tumarkin LLP.

Our lawyers in Ontario, Alberta, and B.C. have successfully represented tens of thousands of non-unionized individuals.

In addition to severance package negotiations, we can assist you on a broad range of employment matters, including:

If you are a non-unionized employee who needs help with a workplace issue, contact us or call 1-855-821-5900 to get the advice you need and the compensation you deserve.

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