Bethesda Game Studios is reeling from the latest round of gaming layoffs at Microsoft, with the Bethesda Game Studios Union (BGSU) reporting that 1,600 employees across the Xbox gaming division have lost their jobs this week. The layoffs are part of a broader corporate reorganization scheme intended to cut 3,800 positions by the end of Microsoft's 2027 fiscal year.
As staff at the studio's Rockville, Maryland office processed the news, they organized a “Celebration of Service” display to honor their departing colleagues. Inspired by a similar initiative at Bethesda’s Dallas offices, the display featured framed photos and a floral arrangement. However, the union reports that the display was short-lived.
“Unfortunately, HR made our office manager take this down almost immediately,” the BGSU stated on Bluesky. “They said because it's in a common area, it had to be removed.” The union noted that employees have frequently utilized common areas for other purposes, including fan works, without encountering objections from management. The removal of the memorial has drawn criticism from staff who feel the company’s HR department deemed the act of mourning colleagues inappropriate.
Loss of Long-Tenured Talent
The impact of the staff reduction is significant, involving the departure of veteran developers who have helped define the studio's output for decades. Among those let go is Christiane Meister, a senior character artist whose 27-year tenure at Bethesda included overseeing character art asset creation for every entry in The Elder Scrolls series, from Morrowind to Skyrim.
In a statement posted to social media, the union emphasized the scale of the loss, noting, “We lost dozens of programmers, artists, designers, and testers. Many of whom worked at BGS for decades.”
Concerns for Future Projects
Following the news of the layoffs, the union has raised concerns regarding the potential impact on upcoming projects, including the highly anticipated The Elder Scrolls 6. The BGSU has encouraged fans concerned about the long-term quality of future titles to voice their frustrations directly to Microsoft.
When asked for comment regarding the layoffs and the removal of the employee display, Bethesda did not immediately provide a response. For the latest updates on industry shifts, keep an eye on our Gaming News coverage.