Starbreeze lays off a quarter of its staff in further efforts to cut costs

Struggling Swedish publisher makes organisational changes that will save £310,000 per month

Starbreeze has announced it is making changes to its business in order to reduce costs -- but this will involve dismissing a quarter of its staff.

Of the 240 staff currently employed across the Starbreeze group, approximately 60 are expected to be effected with the layoffs to be complete by November.

While the changes are not detailed, the publisher says they will help it "operate an efficient and profitable business long-term". All organisational changes centre around its Stockholm office.

Starbreeze expects to save three million Swedish krona ($310,000) per month after the restructure is complete.

"In the past six months we have made a number of changes to the business following our strategy to focus on the core business," said CEO Mikael Nermark in a statement.

"We have divested some operations that we consider non-core and we now have to look inward to make the core business more efficient. To make staff reductions is a tough decision to make, but necessary to enable Starbreeze to develop well long-term."

Starbreeze has been in reconstruction -- a rescue period afforded to Swedish companies facing insolvency -- since December 2018. It recently applied for a second extension to this period, taking it up to early September.

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