With few major games on the horizon and the Switch 2 seemingly delayed, Nintendo of America's testing department is undergoing major changes, according to a new report from Kotaku that includes a statement from Nintendo.
In its statement, Nintendo acknowledged that it is restructuring its internal testing, which 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 [Nintendo of America's] support, will offer severance packages and provide assistance during their transition," Nintendo said in its statement. "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."
According to the contractors in the report, the restructuring comes as the company faces a "lull" in its testing department. The contractors claim that Nintendo has no new major first-party games on the horizon and that no one has had hands-on time testing the upcoming Switch successor — which was initially rumored to release toward the end of 2024.
While the official number of employees impacted by layoffs is unknown, four former and current Nintendo employee claimed in Kotaku's report that the restructuring could potentially affect over 100 workers, and that those being converted to full-time employment are being moved out of software testing.
Nintendo's restructuring comes off the heels of a slew of industry-wide layoffs, including major layoffs from competitors Sony and Microsoft. In January, Microsoft laid off 1,900 staff from its workforce following its $69 billion acquisition of Activision Blizzard and the exit of its controversial former CEO Bobby Kotick — who allegedly received a $15 million "golden parachute" following his departure. In February, Sony laid off roughly 900 employees, including developers across critical and commercially studios like Insomniac, Naughty Dog, and Guerrilla.
Nintendo recently released Princess Peach Showtime, which we awarded a 7 in our review. Nintendo is also planning a remaster of Paper Mario: The Thousand-Year Door. For more, check out our list of the biggest games releasing in 2024.
Isaiah Colbert is a freelance writer for IGN. You can follow them on Twitter @ShinEyeZehUhh.
