Gears of War: E-Day Devs Fear Post-Launch Layoffs and Lost Bonuses

Staff at The Coalition, the Xbox studio behind Gears of War: E-Day, are reportedly bracing for layoffs in the weeks following the game’s October 6 release, with a particular fear that the timing could cost them performance bonuses tied to Metacritic scores.

A Celebration Shadowed by Anxiety

Gears of War: E-Day launched October 6, with Premium Edition early access beginning just days before. What should be a milestone moment for the studio is instead being met with widespread unease, according to multiple sources who spoke to Eurogamer and Insider Gaming. Staff say morale has taken a serious hit following Xbox’s decision to lay off story director Juan Vaca just days before release, a move described internally as “very demoralising.”

“I can only imagine the heartbreak of spending all those years on a game to have the final stretch ripped away, completely out of your control,” one source told Eurogamer. “It’s like you planned for a year on a meal for your family where everyone will be there and the day of, you get locked out of the building or something and can’t join in.”

Bonuses on the Line

According to Video Games Chronicle, studio leadership has informed employees that a Metacritic-linked bonus is expected to be paid out “near the end of October.” The catch is that employees must still be full-time staff at the time of the payout to qualify, meaning anyone let go between launch and the bonus date would potentially lose out. That window of uncertainty is now weighing heavily on the team.

There is some reported reassurance: as Eurogamer understands it, staff already affected by layoffs, including Vaca, are still expected to receive their bonuses if the Metacritic targets are hit. That would suggest future post-launch layoffs would carry the same protection. However, sources told VGC that skepticism inside the studio runs high. “It’s hard to believe anything [Microsoft leadership] say anymore after discarding staff in this manner,” one source said. Another added they “wouldn’t put it past Microsoft” to find a way around the payout.

Broader Uncertainty at The Coalition

Sources say staff had generally assumed The Coalition would not be immune to Xbox’s ongoing rounds of layoffs, but expected any cuts to arrive after the release period had passed. That assumption no longer holds. “We honestly expected the layoffs to hit us post-release, but that seems to not matter now,” one source told Eurogamer. “Now we’re just expecting the next wave, or being reorganised under Activision or something later this year.”

“There was a general perception here that we’re in a relatively secure spot, despite everything in the industry,” another source added. “But now that feeling is up in the air.” Microsoft declined to comment when approached by Eurogamer about the claims in the report.

Sources: Video Games Chronicle, Insider Gaming, Eurogamer