Epic Games has laid off over a thousand employees today, March 24, 2026. The developer of Fortnite and owner of Unreal Engine has cut approximately 20% of its workforce, citing a decline in revenue from its games and broader economic factors. In addressing his staff about the layoffs, Epic Games CEO Tim Sweeney compounded the situation by issuing an internal and publicly released note filled with defensive and disrespectful comments.

The mass layoffs at Epic Games are part of a troubling industry trend that has resulted in tens of thousands of job losses in recent years. While it is common for CEOs or executives to issue statements during such times, these are often awkward attempts to soften the impact of hundreds of employees losing their livelihoods. Sweeney’s message to Epic employees is unfortunately reminiscent of Phil Spencer’s tone-deaf letter following layoffs at Xbox last year, using the moment to seek some misguided PR advantage.

Over 1,000 Laid Off, “Despite Fortnite Remaining One Of The Most Successful Games In The World”

Epic Games released a note from CEO Tim Sweeney, which “was sent to Epic employees today.” It serves as part of the explanation for the company’s decision to eliminate over 1,000 jobs, specifically mentioning “the downturn in Fortnite engagement that started in 2025,” but quickly devolves into the unpleasant corporate affirmations typical of such memos. Most troubling is Sweeney’s attempt to portray Epic Games as a victim in some noble struggle.

“In being the industry’s vanguard,” Sweeney writes, “we have taken a lot of bullets in a battle which is only in the early days of paying off for ourselves and all developers.” Here he appears to reference Epic Games’ lawsuits against Apple and Google, which broadly aimed to allow developers to bypass restrictions on in-app purchases and the revenue cuts imposed by digital storefront owners.

While Epic’s stated altruistic goals are generally commendable, it is important to remember that these lawsuits primarily served the purpose of allowing the company to profit more effectively from mobile versions of Fortnite. To invoke this in a defensive manner while laying off more than 1,000 workers is shocking, especially since those developers include individuals who just lost their jobs. If lawsuits are costly, so too is maintaining a CEO whose estimated net worth approaches $10 billion.

The tone-deaf remarks continue as Sweeney recounts similarly tumultuous times in the gaming industry. He boasts that three times – in the 1990s, 2000s, and in 2012 – Epic Games “rebuilt [its] foundations and earned a renewed leadership position.” (2012 is particularly noted as Epic’s significant shift into online gaming with the development of Paragon, a MOBA that struggled for two years in early access before being canceled.) What began as an explanation for the market conditions necessitating these layoffs has transformed into a quasi-promotional statement for the studio itself.

Sweeney’s note also frames the industry’s “massive upheaval” as a “massive opportunity for the companies that come out as winners on the other side.” Epic Games’ routine cost-cutting measures from top to bottom will not provide comfort to those who are now unemployed. Those thrust into this crisis likely have little interest in Sweeney’s clichéd mission “to bring other like-minded developers in the industry along on the journey to build an increasingly open and vibrant future of entertainment together.

Sweeney’s Note Is Insultingly Off-Topic & Filled With Corporate Speak

If it weren’t so frustrating, it would almost be impressive how close Sweeney came to crafting a tactful note regarding the layoffs before undermining it with such peculiar rallying cries. Sweeney’s statement begins with a straightforward explanation of the challenges facing Epic Games – i.e., the reasons provided for the layoffs – and concludes with an assurance that those affected will receive appropriate severance packages, including extended healthcare coverage.

There must surely be a more appropriate time to appeal to investors and attempt to rebuild confidence than in a note informing employees that one in five coworkers will be laid off. In fact, Sweeney himself offers one: “We’ll have a company meeting Thursday to talk about the roadmap in more detail.” Layoffs are sadly a common aspect of our profit-driven capitalist system, and they are difficult enough to accept without a CEO simultaneously attempting to glorify their company.

This approach is disrespectful not only to those who have been laid off but also to those who remain employed. Such sweeping layoffs impact everyone at Epic Games to varying degrees. It does not benefit anyone to philosophize about corporate goals in a layoff notice – we are fighting a good fight, but we can no longer afford your salary. However, we can afford Tim Sweeney’s salary.

It is one thing to release a failed game and see your studio close. It is another matter entirely to develop a successful game and still face layoffs. It is beyond insulting to be reminded that your company created one of the most successful video game phenomena of the last decade while your employment termination is merely collateral damage in an industry downturn. But rest assured, your notice from the Epic Games CEO was at least considerate enough to celebrate those very costly lawsuits won by the company.