Hundreds of employees at Jam City are laid off as part of “restructuring”

Several employees at Jam City were let go today. 17 percent of the firm’s workers was reportedly laid off, according to the company. There are between 150 and 200 people employed by the company.

Disney Emoji Blitz, Harry Potter: Hogwarts Mystery, and the blockchain game Champions Ascension were all developed by Jam City. An initial public offering of a $1.5 billion SPAC was scrapped last year.

It’s been tough for Jam City to cut its workforce by 17% because of today’s harsh global economic climate and its influence on gaming. A spokeswoman for Jam City acknowledged as much in a statement. Due to our recent strategic acquisitions, we’ve had to reduce the size of our workforce in order to deal with the resulting redundancies.

“While Jam City remains profitable, we believe that in the current operating environment, this is a necessary move to enhance our financial flexibility and increase operating efficiencies, better positioning Jam City for long-term growth. This also follows a broader restructuring we recently completed to realign our development teams under genre divisions focused on subject-matter expertise to optimize performance. We thank those who are leaving us for their many contributions and are providing severance packages and benefits to help with the transition.”

One year ago, Jam City obtained $350 million in funding at the same time it purchased Ludia, a Montreal-based video game development company. Besides facilities in Los Angeles, Buenos Aires and Bogota Jam City also has studios in San Diego, Las Vegas, Cedar Falls and Toronto. In terms of studios impacted, it isn’t apparent which ones have been worst hit.