As Xbox swings the axe, Gears of War: E-Day developers fear they’ll be laid off straight after launch - and right before they’d be due their bonuses

The Coalition developers working on Gears of War: E-Day are reportedly anxious about potential layoffs following the game’s imminent release, according to sources speaking with Eurogamer. This concern comes after the team spent five years developing the title through months of intensive crunch, including recent periods of heavy overtime.

The anxiety stems from Microsoft’s ongoing restructuring of its gaming division. In July, new Xbox CEO Asha Sharma announced 3,200 job cuts across the gaming arm, with approximately half implemented immediately. Multiple rounds of redundancies have followed, affecting developers across studios including Activision, Bethesda, Id Software, Blizzard, and others.

While The Coalition previously felt somewhat protected due to their work on the high-profile Gears of War franchise, that sense of security has eroded. Staff members expressed diminished trust in leadership, with one developer stating “It’s hard to believe anything they say anymore.” The situation is particularly concerning because developers reportedly fear being laid off shortly after the game launches—potentially before they receive performance bonuses tied to completion.

This fear became tangible when The Coalition’s story director was laid off last week, just before the game’s release. The timing has intensified concerns among remaining staff about job security and compensation, illustrating the broader instability within Microsoft’s gaming division during its restructuring.

As Xbox swings the axe, Gears of War: E-Day developers fear they’ll be laid off straight after launch - and right before they’d be due their bonuses

Sources