coindesk.com
Australian crypto gaming company Immutable is cutting 11% of its workforce, according to a report by The Sydney Morning Herald.
Chief executive and co-founder James Ferguson announced the job cuts in a note to its staff on Wednesday, which was seen by The Sydney Morning Herald.
Ferguson blamed the layoffs on a need to maximise how long its cash reserves will last and put its resources towards the most important projects, the report said.
"I take full ownership for these actions,” Ferguson wrote while adding that "I am sorry to all Immutables impacted by these changes." Affected staff would be offered an average of 10 weeks' redundancy pay, laptops, counselling, coaching and outplacement services, the report said. Healthcare would be extended to the staff in the U.S.
The report also added that financial submissions to the Australian Securities and Investments Commission show that Immutable earned $27 million, but had $83 million of expenses in the past financial year.
An Immutable spokesperson told The Sydney Morning Herald that the company had $280 million in cash on its balance sheet, giving it more than four years of cash reserves at its current rate of spending.
Immutable did not respond to CoinDesk's request for comment.
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