Riot Games to lay off 530 employees, or 11% of workfore

League of Legends developer Riot Games is laying off over 500 workers in an effort to stave off rising costs and help balance out Tencent's books.

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Riot Games officially announces it will lay off 530 workers.

Riot Games to lay off 530 employees, or 11% of workfore 2

League of Legends creator Riot Games today confirmed it will lay off over 500 employees across all divisions, primarily focused on non-development roles. Similar to other companies, the Tencent-owned Riot Games is making this decision as an effort towards "sustainability," which typically refers to cost-cutting measures that are made in order to stay profitable.

Riot Games CEO Dylan Jadeja said this in the update: "Today, I'm sharing a decision we hoped we would never have to make at Riot. We're changing some of the bets we've made and shifting how we work across the company to create focus and move us toward a more sustainable future. This decision means we're eliminating about 530 roles globally, which represents around 11% of our workforce, with the biggest impact to teams outside of core development."

Jajeda continues by saying Riot employees will be notified via email in an hour if their jobs have been cut. Riot is prepared to offer a much more generous exit package than most game studios, including severance pay, cash bonuses, and even free laptops.

Within the next hour, Rioters around the world will receive an email informing them whether or not their role is, or may be, impacted.

Shortly after, every Rioter whose role is or may be impacted will get a calendar invite to meet with their Senior Leader and People team partner and discuss next steps within 48 hours. There's a wide range of local employment processes that have to be followed in situations like these. So, while these meetings will be completed this week in the US, it may take several weeks to finish them around the world as we follow local laws and regulations.

Rioters whose roles are going away, and who aren't moving into new positions, will be offered:

  • Severance Pay - We'll offer a minimum 6 months of salary, which includes notice period for all Rioters whose roles are going away, and more for those with longer tenure, in line with local laws.
  • Cash Bonus - We'll offer a cash bonus equal to 1x (100% of) everyone's individual 2023 Annual Performance Bonus (APB) target, even if Rioters joined within the last year.
  • Health Benefits - In locations where Riot provides healthcare, Rioters covered by our health benefits will continue to be covered through their last day of employment. In addition, they'll be offered additional pay to cover their health benefits (medical, dental and vision), equal to the length of severance pay, and rounded up to the whole month.
  • Play Fund, Wellness Fund, etc. - We know Rioters may have planned future expenses that would normally be covered by things like the Play Fund & Wellness Fund, so we're offering an additional $1000 (or local equivalent) to cover these and other types of expenses.
  • Equity - Rioters who have received Riot shares from vesting their single-vesting RSUs will get to keep them, subject to their terms and conditions. This also applies to other vested instruments (like options, or cash-settled SARs in certain jurisdictions such as China). In the event of a future buyback opportunity, we intend to allow these former Rioters to participate. Rioters who hold dual-vesting equity, who have satisfied the service-based vesting component at the time of exit, will be able to vest their equity in the event we have a qualifying liquidity event (like a change-in-control transaction) within the next 12 months.
  • Computer - A laptop is an essential part of finding new work, so after returning their work computers, Rioters will have the option to request a laptop from IT if they don't have one at home. They can keep their current peripherals like their headset, mouse, and keyboard.
  • Career Support - Rioters will have immediate access to job placement services for 6 months including, career coaching, networking, resume writing and review, and more to help them transition to a new job.
  • Rioter Assistance Program - Rioters will continue to have access to RAP 24/7 for three months after they leave Riot which includes trained counselors who can help with emotional, legal, and financial concerns. In addition, enhanced employee assistance programs (including mental health benefits) will be accessible in a number of locations worldwide. Our local HRBPs will provide information about these programs as available.
  • Visa Support - We know this change will be particularly challenging for Rioters who hold visas as part of their employment with Riot. Each situation is unique, and we have dedicated support lined up for those who need it. This includes supporting transitions to non-employment visas where possible. Our Global Mobility team and outside immigration consultants will be in touch with impacted Rioters ASAP to discuss their individual situations.
  • Riot Email Access - Rather than immediately cut off email access, which is more common in these moments, we will continue to provide access to impacted Rioters for a limited time after notification (this will vary by region). We want to make sure Rioters who are leaving us this week have a bit of time to identify and unwind any personal info or accounts that may be tied to their Riot email addresses.

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NEWS SOURCE:riotgames.com

Derek joined the TweakTown team in 2015 and has since reviewed and played 1000s of hours of new games. Derek is absorbed with the intersection of technology and gaming, and is always looking forward to new advancements. With over six years in games journalism under his belt, Derek aims to further engage the gaming sector while taking a peek under the tech that powers it. He hopes to one day explore the stars in No Man's Sky with the magic of VR.

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