Ubisoft proposes more layoffs following studio closures and game cancellations

Ubisoft

• Ubisoft plans voluntary layoffs for up to 200 staff at its Paris headquarters
• Layoffs use France's mutual agreement process, Rupture Conventionnelle Collective
• No layoffs finalized until agreement with union or authorities is reached

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A week after major cancellations of games and studio closures, it looks like Ubisoft is planning even more job reductions among staff working inside its Paris headquarters. Reportedly, the company has kicked off a ‘voluntary’ layoff program at its Ubisoft Paris headquarters, intending to cut as many as 200 employees from the studio. This process will be organised under the voluntary Rupture Conventionnelle Collective (RCC) process, which is a widely used legal mechanism in France for mutually agreed terminations.

As per a report by IGN, Ubisoft confirmed its plans to cut as many as 200 roles in Paris, without straight away terminating them. A Ubisoft spokesperson told IGN: "In line with last week's announcements on its new operating model and the acceleration of cost-reduction initiatives, Ubisoft International has initiated discussions regarding a potential Rupture Conventionnelle Collective, a collective, voluntary mutual termination agreement that could involve up to 200 positions at its headquarters in France.”

Currently, it remains a proposal, with the company still not clarifying what it will do if it doesn't get 200 willing participants in its Paris HQ. It’s also possible that fewer than 200 positions will be made redundant by the program's completion, with the program only applying to employees under Ubisoft International with French contracts. Moreover, no layoff will be made final until an agreement is reached with the union or the country’s authorities.

This new structure could also make it easier for Ubisoft to discontinue and sell portions of its business without affecting the workforce of its major studios. Last week, the company announced the cancellation of six games, including the much-awaited Prince of Persia: Sands of Time remake. However, Ubisoft didn’t reveal the other five scrapped games. The firm has also announced that seven more games are currently being delayed, with the company currently seeing its lowest share price since 2011.