Lionhead staff cut by less than 10% by Microsoft

Lionhead has seen a number of staff cuts today by Microsoft, which has laid-off less than 10% off the studio's workforce.

The employees were let go upon the completion of Fable: The Journey, and while the exact number has not been disclosed, Microsoft said a "thoughtful and fair consultation process," was held to ensure those affected would have the "best possible chance of finding a role inside Microsoft Studios," the firm told GI International.

"We are working closely with the affected employees during this difficult time, and helping them to explore opportunities," said Microsoft. "We do not have an exact number to share but by the end of 2012 these reductions will account for less than 10% of the overall headcount at Lionhead.

"Following the completion of Fable: The Journey, Lionhead Studios has begun work on its next projects. As is common in the games industry, a smaller headcount is needed as projects kick-off and ramp up as full-production gets underway. At this time a small number of positions have been identified as at risk of redundancy and the affected employees were notified today.

"We are working very closely with those people during this difficult time, to help them explore alternative opportunities within Microsoft - including new roles at Microsoft Studios which is growing in the UK and actively hiring across all locations, including Lionhead, Rare, Soho Productions and our recently announced new studio in London."

Microsoft hopes to add 100 positions to its internal studios by June 2013.

Kinect game Fable: The Journey was released last week to varying reviews.