THQ has cut a number of creative of jobs at its Australian studio, letting 14 staff go in its latest attempt to cut costs.
Earlier this month the Homefront publisher cancelled two multiplayer projects in development - WWE Online and Company of Heroes Online - and re-evaluated its kids license business, resulting in a $30 million loss.
The Australian studio has worked on licensed material aimed at a younger audience, including Megamind Ultimate Showdown and Avatar: The Last Airbender.
"We have let 14 employees go at our THQ Australia studio. In the normal course of business, we expect to adjust our workforce both up and down as required by project needs," the company said in a statement.
According to a source speaking to GamesIndustry.biz, staff affected were from all art disciplines - environment, props, animation and effects - and no options were given to apply for roles at any other THQ studios. The team now has around 60 members.