Nintendo of America is currently in the process of laying off an undisclosed number of contractors who help test games and hardware. It is unclear how many workers will be affected by this, but it is believed there are more than 100 contractors.
In a statement to Kotaku, a Nintendo spokesperson said the changes “will include the termination of some contract work and the creation of a significant number of new full-time employees.” The report explains that some contractors working with Nintendo of America feel exploited and underpaid for some time as they pursue full-time employment with the company. Some testers are hired and removed from software testing, while others are fired. Nintendo said those affected would receive severance pay.
The full statement given to Kotaku follows:
“Nintendo of America (NOA) has reorganized its product testing function to drive greater global integration in its game development efforts. These changes will also better align NOA with cross-regional testing procedures and operations.
These changes include the termination of some contract work and the creation of a significant number of new permanent employees. For all missions being terminated, the contractor agency, with assistance from NOA, will provide a severance package and provide support during the transition.
“To the employees of our partners who will be leaving us, we are extremely grateful for the important contributions they have made to our business, and we sincerely thank them for their hard work and service to Nintendo.”
The report goes on to explain that three contractors who spoke to Kotaku noticed a “lull,” during which time no new first-party games were tested. Additionally, no one has been testing the upcoming Switch 2, which was initially suspected to be released later this year. These cuts have led some contractors to express concerns about whether they will be able to adequately test Nintendo’s larger games.
Unfortunately, layoffs are a trend that will continue this year. Recently, Some Affinity laid off 25 employees, and last month Sony laid off 900 employees.