Just Cause 3 developer Avalanche Studios has been forced to let go staff at both its New York and Stockholm offices.
After finishing work on Mad Max, and with Just Cause 3 out later this month, the studio had been struggling to support such a large team.
"The transition between major projects is always challenging, especially for independent developers," said a company representative, speaking to Game Informer.
"In starting up our new projects, we were not able to perfectly match the team sizes and skill sets of the previous ones, and we unfortunately had to let some talented developers go.
"12 developers were given notice in New York. There was a similar number of notices given this summer in Stockholm."
The good news is that the developer is in the process of rehiring some of those who were laid off, with Avalanche also adding it's "taking measure to avoid situations like this in the future."