Zynga is laying off 5 percent of its full-time workforce, closing its Boston studio and significantly reducing staff at its Austin studio, CEO and founder Mark Pincus writes in a letter to employees. Zynga is proposing closures of its Japan and UK studios, retiring 13 older games and "significantly reducing" its investment in The Ville.

"In addition to these studios, we are also making a small number of partner team reductions," Pincus writes. "In all, we will unfortunately be parting ways with approximately 5 percent of our full time workforce. We don't take these decisions lightly as we recognize the impact to our colleagues and friends who have been on this journey with us. We appreciate their amazing contributions and will miss them."

As part of a larger restructuing, Zynga is cutting "spending on data hosting, advertising and outside services, primarily contractors." Pincus says these measures will "improve profitability" and allow the company to "reinvest in great games."

Pincus will host a webcast tomorrow, following its earnings report. There is no word of the Zynga Chicago studio losing staff, as was rumored earlier today. Read Pincus' full letter below.