diff --git a/server/src/io/fs/scaffold/helpers.rs b/server/src/io/fs/scaffold/helpers.rs
index 31691b7e..ea81b06b 100644
--- a/server/src/io/fs/scaffold/helpers.rs
+++ b/server/src/io/fs/scaffold/helpers.rs
@@ -53,9 +53,6 @@ pub(super) fn write_story_kit_gitignore(root: &Path) -> Result<(), String> {
         "worktrees/",
         "merge_workspace/",
         "coverage/",
-        "work/2_current/",
-        "work/3_qa/",
-        "work/4_merge/",
         "logs/",
         "token_usage.jsonl",
         "wizard_state.json",
diff --git a/server/src/io/fs/scaffold/mod.rs b/server/src/io/fs/scaffold/mod.rs
index 51b3d7d0..b06c9fa2 100644
--- a/server/src/io/fs/scaffold/mod.rs
+++ b/server/src/io/fs/scaffold/mod.rs
@@ -27,20 +27,8 @@ pub(crate) fn scaffold_story_kit(root: &Path, port: u16) -> Result<(), String> {
     let functional_root = specs_root.join("functional");
     let script_root = root.join("script");
 
-    // Create the work/ pipeline directories, each with a .gitkeep so empty dirs survive git clone
-    let work_stages = [
-        "1_backlog",
-        "2_current",
-        "3_qa",
-        "4_merge",
-        "5_done",
-        "6_archived",
-    ];
-    for stage in &work_stages {
-        let dir = story_kit_root.join("work").join(stage);
-        fs::create_dir_all(&dir).map_err(|e| format!("Failed to create work/{}: {}", stage, e))?;
-        write_file_if_missing(&dir.join(".gitkeep"), "")?;
-    }
+    // The `.huskies/work/` directory tree is no longer scaffolded — the CRDT
+    // is the canonical pipeline state store (see stories 738 / 758 / 763).
 
     fs::create_dir_all(&tech_root).map_err(|e| format!("Failed to create specs/tech: {}", e))?;
     fs::create_dir_all(&functional_root)
@@ -174,27 +162,17 @@ mod tests {
     }
 
     #[test]
-    fn scaffold_story_kit_creates_work_pipeline_dirs() {
+    fn scaffold_story_kit_does_not_create_work_pipeline_dirs() {
+        // After 763 the `.huskies/work/` tree is no longer scaffolded; CRDT is
+        // the canonical pipeline state store.
         let dir = tempdir().unwrap();
         scaffold_story_kit(dir.path(), 3001).unwrap();
 
-        let stages = [
-            "1_backlog",
-            "2_current",
-            "3_qa",
-            "4_merge",
-            "5_done",
-            "6_archived",
-        ];
-        for stage in &stages {
-            let path = dir.path().join(".huskies/work").join(stage);
-            assert!(path.is_dir(), "work/{} should be a directory", stage);
-            assert!(
-                path.join(".gitkeep").exists(),
-                "work/{} should have a .gitkeep file",
-                stage
-            );
-        }
+        let work_root = dir.path().join(".huskies/work");
+        assert!(
+            !work_root.exists(),
+            ".huskies/work/ should not be created at scaffold time"
+        );
     }
 
     #[test]