It’s a sad day for the folks who worked on Kingdoms of Amalur: Reckoning. According to a source close to Joystiq, both 38 Studios and Big Huge Games have laid off their entire respective staffs. Ouch!

All of this is a result of a recent financial fiasco where 38 Studios was unable to pay the Rhode Island state government a large sum of money. It’s a long and complicated story, but here’s the short version: If 38 Studios doesn’t pay up, the Amalur IP will become the property of Rhode Island, and taxpayers living in the state may owe up to $112.6 million from 2013 through 2020.

“Big Huge Games was home for my wife and me for our adult lives so far,” tweeted former lead world designer at Big Huge Games Colin Campbell. “I’ll miss it terribly, but so proud. Good night and good luck.”

Already different studios have been showing their support for the unfortunate individuals who lost their jobs via Twitter, with kind words and even job offerings. Here’s hoping these talented game makers aren’t without jobs for too long. Best of luck to the former 38 Studios and Big Huge Games staffs.

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