Employees get layoff notices at CryTek’s UK office, as the company struggles to make payroll.

CryEngine Nex Gen4th Generation CryTek in crisis: Layoffs begin at UK studio

As reported earlier this week, CryTek is facing a perilous future. Demand has been slack for its CryEngine, and keeping its Xbox One title Ryse on schedule cost much more than initially expected. Now, Eurogamer is reporting that there are layoffs in certain offices and other staff are departing the company to work at its competitors.

According to a report by Eurogamer, 30 staff have been let go at CryTek’s UK office (its website lists that 130 worked there at one point). These staff were working on CryTek’s upcoming Homefront: The Revolution. Reportedly, some have gone to Cloud Imperium — one of the few licensees of the CryEngine — to work on Star Citizen.

One notable departure from CryTek, though he left on his own accord and not by layoff, is managing director Karl Hilton. Eurogamer reports that Hilton departed in late May.

It has also been reported that CryTek is struggling to pay staff on time, with one source that spoke to Eurogamer stating that staff have only been paid $1000-$1100 for the past few months.

For its part, CryTek has repeatedly refused requests by the press for comment citing that it doesn’t comment on rumors.

Source: Eurogamer