Krome Studios always seemed rather safe but after we heard about a layoff on Friday it was only time until Krome confirmed it themselves. Speaking to Gamespot AU, CEO of Krome Robert Walsh has revealed that the studio has been forced to let go of employees as the company restructures.

“With declining game sales, the industry is really feeling the effects of the struggling economy. In spite of industry-wide cutbacks and Krome’s need to reduce costs, we’ve worked really hard to minimise the impact on our staff. These cuts, while incredibly difficult as they affect the coworkers we consider friends, are necessary as we position Krome for the future. We’re also actively pursuing several business opportunities which, if secured, will enable Krome to reemploy some of the staff given notice.” says Walsh.

Krome has just finished work on the latest Star Wars: The Clone Wars title and is currently working on a new original IP called Blade Kitten. We wish Krome the best of luck; we’re still hoping for that Wii Motion Plus Lightsaber game.

Sources: Gamespot AU, Australian Gamer