Nintendo of America Confirms Contractor Layoffs, Restructures Product Testing Functions

Posted on March 29 2024 by Judy Cooper

Nintendo of America (NOA) has reportedly confirmed contractor layoffs for those in Product Testing, according to Kotaku. This news comes amid the creation of full-time employee positions as NOA endeavor to integrate their game development efforts globally. In a statement to confirm restructuring, Nintendo provided the following information:

Nintendo of America (NOA) has reorganized its Product Testing functions to drive greater global integration in game development efforts. The changes will also better align NOA with interregional testing procedures and operations.

These changes will involve some contractor assignments ending, as well as the creation of a significant number of new full-time employee positions. For all assignments that are ending, the contractors’ agencies, with NOA’s support, will offer severance packages and provide assistance during their transition.

For those contractor associates who will be leaving us, we are tremendously grateful for the important contributions they’ve made to our business, and we extend our heartfelt thanks for their hard work and service to Nintendo.

Based on word from current and former Nintendo employees, the layoffs could affect more than 100 contractors, with those who achieve full-time employment being moved out of Product Testing. Kotaku reports that three contractors confirmed a “lull” within the testing department, with no new major first-party games currently in the testing pipeline. Additionally, Kotaku sources state that they are unaware of anybody having hands-on time with the Nintendo Switch’s successor. Sources stated further that they were unsure how NOA could continue to test massive games like last year’s The Legend of Zelda: Tears of the Kingdom — a bestseller amongst Switch titles.

News on layoffs at Nintendo follows 2022 reports of tension amongst contractors at the company. Criticisms were made about how NOA differentiated between full-time and contract staff, with note to the designation of red and blue badges to separate the two, seemingly bolstering exclusion.

What do you think of Nintendo’s restructuring? Do you think they have any plans for new major first-party games? Let us know in the comments below.

Source: Kotaku