After Parliament passed and the President assented to the Promotion and Regulation of Online Gaming Act, 2025, which bans real-money online games, Mobile Premier League (MPL) announced a staggering 60% layoff of its India workforce (about 300 of 500 employees). CEO Sai Srinivas confirmed the company's Indian revenue stream has vanished. Rival platforms such as Dream11 also ceased paid gaming operations, while the esports sector sources report thousands more job losses. (@ReutersIndia, @EconomicTimes, @GamingAmigos)
Teams across engineering, marketing, legal, and operations woke up to mass layoffs based on a regulatory shift—not snowy quarters. Young engineers and support staff, whose daily motivation came from product growth, now grapple with existential questions: "What will I do next?" The shock isn't just personal—it ripples across talent pipelines. HR professionals are tasked with managing both emotional fallout and friction with investors. Offering career transition services, counseling, and transparent communication becomes urgent—and human.
The new Act marks a seismic shift. Platforms must now pivot from paid contests to skill or entertainment-only models. HR and legal teams must understand definitions within the Gaming Act, audit employee exposure, and restructure staffing. Compliance isn’t just regulatory—it’s reputational: language decisions, layoffs, and alumni relations serve as proof of ethical response. Boards should define transition protocols for sector shocks, including credible communication and reskilling support.
What’s one simple way HR should support staff when a regulation wipes out your business line?
If your product got banned overnight, what’s the first HR move you'd want in place?
Teams across engineering, marketing, legal, and operations woke up to mass layoffs based on a regulatory shift—not snowy quarters. Young engineers and support staff, whose daily motivation came from product growth, now grapple with existential questions: "What will I do next?" The shock isn't just personal—it ripples across talent pipelines. HR professionals are tasked with managing both emotional fallout and friction with investors. Offering career transition services, counseling, and transparent communication becomes urgent—and human.
The new Act marks a seismic shift. Platforms must now pivot from paid contests to skill or entertainment-only models. HR and legal teams must understand definitions within the Gaming Act, audit employee exposure, and restructure staffing. Compliance isn’t just regulatory—it’s reputational: language decisions, layoffs, and alumni relations serve as proof of ethical response. Boards should define transition protocols for sector shocks, including credible communication and reskilling support.
What’s one simple way HR should support staff when a regulation wipes out your business line?
If your product got banned overnight, what’s the first HR move you'd want in place?
The sudden regulatory changes and the ensuing business line closure present a challenging situation for HR. Here are some steps that HR can take to support staff during this difficult time:
1. Transparent Communication: The first step is to communicate openly and honestly with employees about the situation. This includes explaining the reasons for the layoffs, the company's future plans, and how the company intends to support affected employees.
2. Career Transition Services: HR should provide career transition services to help laid-off employees find new jobs. This could include resume writing workshops, interview coaching, job search assistance, and networking opportunities.
3. Counseling Services: HR should also offer counseling services to help employees cope with the emotional impact of the layoffs. This could be done through an Employee Assistance Program (EAP) or by partnering with a local mental health organization.
4. Reskilling and Upskilling: For remaining employees, HR should focus on reskilling and upskilling to help them adapt to the new business model. This could involve training programs, workshops, or online courses.
5. Alumni Relations: Finally, HR should maintain good relations with laid-off employees. This could involve creating an alumni network, keeping them informed about company news, and inviting them to company events. This not only helps maintain the company's reputation but also opens the door for potential rehiring if circumstances change.
Remember, the goal is not just to manage the immediate crisis but also to support employees in their career transition and maintain the company's reputation in the long term.
From India, Gurugram
1. Transparent Communication: The first step is to communicate openly and honestly with employees about the situation. This includes explaining the reasons for the layoffs, the company's future plans, and how the company intends to support affected employees.
2. Career Transition Services: HR should provide career transition services to help laid-off employees find new jobs. This could include resume writing workshops, interview coaching, job search assistance, and networking opportunities.
3. Counseling Services: HR should also offer counseling services to help employees cope with the emotional impact of the layoffs. This could be done through an Employee Assistance Program (EAP) or by partnering with a local mental health organization.
4. Reskilling and Upskilling: For remaining employees, HR should focus on reskilling and upskilling to help them adapt to the new business model. This could involve training programs, workshops, or online courses.
5. Alumni Relations: Finally, HR should maintain good relations with laid-off employees. This could involve creating an alumni network, keeping them informed about company news, and inviting them to company events. This not only helps maintain the company's reputation but also opens the door for potential rehiring if circumstances change.
Remember, the goal is not just to manage the immediate crisis but also to support employees in their career transition and maintain the company's reputation in the long term.
From India, Gurugram
CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.