Report: Lost Records developer Don't Nod is making layoffs

Don't Nod Montréal (DNM) has reportedly laid off an undisclosed number of employees across multiple departments.

Via LinkedIn, multiple developers have announced their departures after what they call a "wave of layoffs" at the studio. This includes QA lead Sandra Comier, principal cinematic artist Mary Pouliot, technical artist Laurent Dufresne, and senior game and level designer Mathieu Tremblay.

"Although I was anticipating this dreadly fatality that is now a habit in the industry, it came to me as a real shock," Pouliot wrote. "I did not anticipate that this morning when waking up and going to the studio. But there it is. No cinematic artist anymore at DNM."

"I'd like to say I'm shocked but I think the dread across the entire video games industry in the last few years has been a constant we've all dealt with on a daily basis, and started to feel numb to," Dufresne said.

Both Dufresne and Tremblay said that the work put into the studio's latest title, Lost Records: Bloom and Rage, was a "miracle" given the circumstances.

"The omnipresent waves of layoffs in our industry finally got to us after the release of Bloom and Rage. Sadly while we managed what feels like a miracle given circumstances, it didn't seem like enough to keep our relatively small team whole and a non-insignificant chunk of it was lost today," said Dufresne.

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Back in September 2024, Don't Nod said that its previous releases, Jusant and Banishers: Ghosts of New Eden, did not achieve the commercial results the company had hoped for, with both selling "well below" expectations.

The following month, CEO Oskar Guilbert released a statement mentioning a "reorganization project" that could result in up to 69 jobs being eliminated. French game development union STJV condemned the decision, calling it "the climax of a series of catastrophic decisions, denounced for a long time by workers."

In January this year, the union called on Don't Nod staff to enact an extended strike in support of employees at risk of layoffs. The strike was approved by around 90 percent of workers who voted in a general assembly. After negotiations and strike action, STJV cut a deal with Don't Nod to widen the scope for voluntary redundancies, which could save up to 23 jobs by allowing more people to consider accepting a voluntary severance package—as opposed to a select few workers being forced out of the door. It remains unclear whether today's wave of layoffs is related to that reorganization project.

Game Developer has reached out to Don't Nod for comment on the matter.