Disco Elysium developer ZA/UM has announced layoffs affecting up to 32 staff just two months after launching Zero Parades: For Dead Spies.

The UK-based studio published a statement regarding the changes on its X/Twitter account. It says that, despite releasing its latest game in May to "critical acclaim, its commercial performance has not enabled us to sustain a studio of our current size."

"We have served redundancy or at-risk notices impacting up to 32 of our colleagues across all departments at ZA/UM Studio," the message said. "Their work has made a lasting difference and left its mark on Zero Parades: For Dead Spies, and the studio as a whole."

pic.twitter.com/h1JqIYywR5

— ZA/UM Studio (@studiozaum) July 17, 2026

ZA/UM said it will continue to "consult and work with" members of its Workers' Alliance union throughout the "difficult process." The message added that the layoffs will change "the shape of ZA/UM, but not its purpose."

"Our artistic standards remain unchanged: we will persist," it continued. "To anyone currently hiring, please consider the colleagues leaving ZA/UM.

The 2020s have been rough for ZA/UM. Trouble truly began in early October 2022, when multiple key developers – including writer and designer Robert Kurvitz, writer Helen Hindpere, and art and design lead Aleksander Rostov – were said to have left the studio involuntarily. Just weeks later, it was revealed that Kurvitz had launched a lawsuit against the company, with both he and Rostov alleging Ilmar Kompus and Tõnis Haavel of Tütreke OÜ had obtained control of ZA/UM "by fraud." ZA/UM denied these claims while launching their own accusations in a statement sent to Gamesindustry.biz.

As things unwound behind the scenes, a series of spinoff studios made up of former ZA/UM developers have emerged. Dark Math Games and Longdue Games announced their projects, XXX Nightshift and Hopetown, in October 2024, with Summer Eternal revealing itself shortly after.

With years of controversy under its belt, today's layoffs aren't ZA/UM's first. In 2024, it was reported that around 24 employees had been impacted by layoffs. The same update brought word that a standalone Disco Elysium expansion had been canceled.

Disco Elysium won ZA/UM multiple categories at The Game Awards 2019 and earned a 9.6/10 review from IGN at the time of its launch. While Zero Parades: For Dead Spies didn't seem to live up to the high bar set by its predecessor, it still boasts an 83 from critics on Metacritic following its May 21, 2026, launch for PC and PS5. For more on ZA/UM, you can read IGN's breakdown for the full wild story behind what's happened at the studio.

Michael Cripe is a freelance writer with IGN. He's best known for his work at sites like The Pitch, The Escapist, and OnlySP. Be sure to give him a follow on Bluesky (@mikecripe.bsky.social) and Twitter (@MikeCripe).