A Bethesda Game Studios artist has described a palpable shift in the company's culture since its acquisition by Microsoft, highlighting a move from stability to annual layoffs that impact institutional knowledge and employee morale. Alex Nguyen, speaking to Kotaku, stated that Bethesda did not experience layoffs prior to the Microsoft acquisition, a situation that has now changed.
"Since we’ve been under Microsoft… it feels like something has changed. We didn’t have layoffs before, and now all of a sudden we have yearly layoffs," Nguyen told Kotaku. He explained that when a small number of individuals with specialized knowledge are let go, it forces remaining team members to re-learn complex systems, which erodes morale and institutional memory. This is particularly concerning for live-service games like Fallout 76 and Elder Scrolls Online, which require sustained labor and development time to evolve into successful titles.
Nguyen also commented on the loss of a long-standing sense of commitment among staff at Zenimax and Bethesda studios. Previously, many employees saw these studios as long-term career destinations, with some intending to retire there. This perceived benefit of stability, Nguyen suggested, is being undermined by Microsoft's current corporate strategies. The artist's remarks come amidst broader industry concerns about labor practices, with the Communications Workers of America and the Bethesda Game Studios OneBGS union participating in the Save Our Devs rally. The rally aimed to protest layoffs and corporate actions across the gaming industry and to push for fair first contracts within Microsoft's gaming studios.