Laid-off Bethesda staff thought Skyrim and Fallout would protect them

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Former Bethesda employees describe their surprise at Xbox layoffs and meetings lasting just two minutes.

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Bethesda Game Studios employees who were laid off believed that working on franchises such as The Elder Scrolls and Fallout would give them job security during Xbox's restructuring. Instead, some were informed in one-on-one video calls that lasted just two minutes.

The account comes from Anne Barrett, who worked for seven years at Bethesda's Austin studio. She said the team had no access to internal information before the cuts were publicly announced and could only follow the rumors already circulating.

After executive Asha Sharma's memo on Xbox's restructuring was published, employees were called in individually about an hour later. For professionals with decades of experience, the layoffs came without warning.

Barrett said there was an expectation of protection because of the strength of the series developed by the studio and the highly anticipated projects still in production. According to her, colleagues reacted with disbelief and distress at the immediate loss of their jobs.

Xbox plans to eliminate 3,200 jobs by the end of fiscal year 2027. Of those, 1,600 cuts have already taken effect, affecting studios including Bethesda, id Software and ZeniMax Online Studios.

Barrett believes the departure of experienced professionals could affect Bethesda's upcoming games. She noted that some of the knowledge behind the studio's proprietary technology and the visual identity of its franchises was built by the people who were laid off.

Bethesda is currently developing The Elder Scrolls 6 and Fallout 5.

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