Don’t Nod’s ongoing struggles proceed, with the corporate asserting it is making ready to implement a reorganization that would lead to layoffs of up to 69 staff.
The announcement comes with the corporate’s monetary outcomes for the primary half of the 12 months right now, which confirmed an 11% year-over-year decline in working income. Per the corporate, the decline is the results of Banishers: Ghosts of New Eden and Jusant not performing in addition to anticipated.
“Our half-year outcomes for 2024 replicate the financial underperformance of our newest launch, regardless of stable scores on Metacritic, in addition to the accounting impression of the selections we had to take,” stated CEO Oskar Guilbert in an announcement. “The preliminary efficiency help measures introduced final spring not appear adequate to preserve the corporate’s competitiveness. Consequently, right now we offered a reorganization challenge to the worker consultant our bodies, which may set Don’t Nod on a brand new growth trajectory. I’m totally acutely aware of the impression this challenge could have on all our staff. Securing our firm’s assets and restoring its capability to carry out extra in an more and more aggressive and selective trade is extraordinarily obligatory.”
The corporate has already taken some restructuring measures to cut back prices, together with “urgent pause” on two unannounced tasks. Nonetheless, this appears to not be sufficient, as Don’t Nod can also be anticipating to lay off quite a lot of people within the coming months. The precise quantity remains to be in flux, as Don’t Nod administration should negotiate with worker union representatives and should implement different measures akin to a voluntary redundancy plan. Notably, earlier this 12 months, the consultant French union Le Syndicat des Travailleurs et Travailleuses du Jeu Vidéo (STJV) accused the company of mismanagement, claiming staff had been dealing with burnout due to the continuing reorganization and that communication, understaffing, and shifting deadlines had been endangering the workforce.
Replace 2:22pm PT: STJV has issued an announcement condeming the layoffs, saying the corporate broke the regulation by not offering any info to staff beforehand about right now’s assembly agenda the place the layoffs had been introduced. The union additionally accused the corporate of ignoring staff asking for clearer communication concerning the state of the corporate, saying that “alarm bells have been ringing for months.”
“The Don’t Nod union part, as nicely the entire of the STJV, can’t tolerate the corporate rejecting the tasks of its personal failures on its staff,” the statement reads. “We warned them way back, however they ignored us and accused us of being too agressive to converse with. With this layoffs plan, they’re creating an environment of utmost violece. We’re calling on all staff at Don’t Nod to mobilise to save their jobs and dealing situations.”
Unique story continues:
In accordance to a games industry layoff tracker, over 13,000 recreation builders have been laid off simply this 12 months (together with 32 simply yesterday at Riot Video games). Over 10,000 builders had been laid off in 2023 and over 8,000 in 2022. We have beforehand reported on how the continuing trade mass layoffs have impacted these affected by them.
Don’t Nod has stated that Misplaced Information: Bloom & Rage remains to be on monitor for its February 18, 2025 launch, and that two different tasks in growth are anticipated to launch earlier than the tip of 2027.
Rebekah Valentine is a senior reporter for IGN. Acquired a narrative tip? Ship it to rvalentine@ign.com.