ZA/UM, the studio acclaimed for the 2019 narrative RPG Disco Elysium, has announced a round of layoffs, stating that its latest game, Zero Parades: For Dead Spies, did not meet commercial expectations.

The studio shared the news via a post on Bluesky, explaining that while Zero Parades was met with critical acclaim, its commercial performance was insufficient to maintain the studio's current size. Consequently, 32 employees across all departments have received redundancy and at-risk notices. ZA/UM acknowledged the significant contributions of the affected employees.

ZA/UM confirmed that it has been consulting with the ZA/UM Workers' Alliance, the studio's union, throughout this process. Despite the staff reductions, the studio asserted that its core purpose remains unchanged, stating, "We will persist." This follows a previous round of layoffs in early 2024, which impacted up to 24 workers.

Zero Parades: For Dead Spies, released in May, was positioned as the highly anticipated follow-up to Disco Elysium. The espionage RPG aimed to retain the narrative and mechanical strengths of its predecessor. In its review, the game was described as an "absolutely absorbing mystery that lies somewhere in the cross-section between geopolitical thriller, comedy of errors, and humanist tragedy." The review further noted that "When it’s not trying too hard to retrace Disco Elysium’s signature, Zero Parades excels as a complicated story of a perpetual fuck-up desperately searching for redemption."

The development and release of Zero Parades have been shadowed by ongoing controversies surrounding ZA/UM since the departure of key creatives, including lead designer Robert Kurvitz, in 2021. These events have led to legal disputes and extensive media coverage. Many players perceived supporting the current leadership of ZA/UM by purchasing Zero Parades as a stance against the ousted employees. A PlayStation 5 version of Zero Parades is reportedly planned for release later this year.