ZA/UM to lay off up to 32 staff following commercial performance issues

ZA/UM, the UK-based developer behind the critically acclaimed game Disco Elysium, has announced layoffs affecting up to 32 staff members, citing the commercial underperformance of its latest title, *Zero Parades: For Dead Spies*. The studio, which released the espionage RPG in May 2026, stated that its “commercial performance has not enabled us to sustain a studio of our current size.” The decision, made just two months after the game’s launch, marks another chapter in the studio’s years-long struggle with financial and internal challenges.

The layoffs, disclosed via a statement on ZA/UM’s social media, impact “all departments” and follow a pattern of instability that has defined the studio since the early 2020s. The statement emphasized that the changes would “change the shape of ZA/UM, but not its purpose,” while reaffirming the company’s commitment to “artistic standards” and “persistence.” ZA/UM also urged potential employers to consider hiring affected staff, stating, “To anyone currently hiring, please consider the colleagues leaving ZA/UM.”

The commercial performance of *Zero Parades: For Dead Spies* has been a focal point of the layoffs. While the game received critical acclaim, with an 83/100 score on Metacritic, its performance did not meet expectations. SteamDB data showed the game peaked at 3,177 concurrent players shortly after its May 2026 release but experienced a steady decline thereafter. ZA/UM attributed the layoffs to this gap between critical reception and financial success, a challenge that has shadowed the studio since its earlier projects.

ZA/UM’s troubles are not new. The studio’s history is marked by legal disputes, leadership conflicts, and mass departures. In 2022, key developers — including writer Robert Kurvitz and art director Aleksander Rostov — left the company under contentious circumstances. Kurvitz later sued ZA/UM, alleging that executives had obtained control of the studio “by fraud.” The studio denied the claims, countering with its own accusations. These disputes led to the formation of spinoff studios, such as Dark Math Games and Longdue Games, which have since pursued independent projects.

The 2024 layoffs, which affected around 24 employees, were accompanied by the cancellation of a standalone *Disco Elysium* expansion. This pattern of downsizing has raised concerns about the studio’s long-term viability. In 2025, ZA/UM’s workforce, estimated at 100 employees, formalized its first recognized video game developers’ union, the ZA/UM Workers’ Alliance. The studio has maintained that it will continue consulting with union representatives during the current layoffs, though the process remains “difficult” for affected staff.

The announcement has sparked mixed reactions. Industry observers and fans have expressed sympathy for the affected workers while questioning ZA/UM’s management decisions. Some highlight the studio’s creative strengths, noting that *Zero Parades: For Dead Spies* was praised for its “intricate storytelling” and “complex character development,” even as it failed to meet commercial targets. Others point to the broader volatility of the gaming industry, where critical success does not always translate to financial stability.

ZA/UM’s challenges reflect deeper tensions in the sector, where independent studios often grapple with balancing artistic ambition with market demands. For a studio that once dominated the narrative-driven gaming space with *Disco Elysium*, the layoffs underscore the precariousness of sustaining a creative vision in a commercially driven industry. As ZA/UM navigates this transition, its future, and the fate of its remaining projects, remain uncertain.