Nintendo of America Testing Center Restructure Leads to Contractor Layoffs

Nintendo of America has confirmed it will be reorganizing its testing centers, in a move that will see the company parting ways with a number of contractors. However, some of those contractors will be changing to full-time positions within the company. At this time, it's unclear how many people will end up without jobs as a result of these changes, but sources for Kotaku say that more than 100 people could be affected (with none of them being full-time Nintendo employees). In an official statement provided to Kotaku, Nintendo addressed the changes while thanking those that will no longer be working with the company. 

Nintendo's Statement

"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."

Is Nintendo Switch 2 to Blame?

Kotaku and its sources speculate that the decision could have something to do with the rumored delay for Nintendo's Switch successor. The tentatively named "Nintendo Switch 2" was expected to release in the second half of 2024, but has now seemingly been delayed to the first half of 2025. At this time, Nintendo has just a handful of first-party games announced for the rest of 2024, including Endless Ocean Luminous, Paper Mario: The Thousand-Year Door, and Luigi's Mansion 2 HD. The second half of 2024 is a big mystery, but that's not uncommon for Nintendo; Super Mario Bros. Wonder was one of the company's biggest games of 2023, but it wasn't announced until July, just four months before its release in October. 

Kotaku's theory is that, if there aren't a lot of major titles set to release before the end of this year, Nintendo might have less of a need for testers. However, that doesn't quite add up. In the Switch era, Nintendo has made something of a habit of releasing games on a near-monthly basis. Even if the Switch 2 was unexpectedly pushed back, it seems unlikely we'll see a giant drought of first-party games that would necessitate getting rid of a good chunk of contractors (especially with a new console on the way). If that were the case, it would also seem more likely that games like The Thousand-Year Door and Luigi's Mansion 2 would be pushed into the second half of the year, to bolster the holiday season. Release dates for those games weren't announced until this month, after the supposed Switch 2 delay, so Nintendo could have pushed them back if it was really necessary. 

Instead, it seems more likely that Nintendo is telling the truth, and it has some kind of restructuring plan in mind where testing is handled more on a global basis, rather than locally. Whatever the case might be, it will be interesting to see what impact this has on Nintendo's testing pipeline, and if it has any kind of negative impact on its games. 

Are you surprised by these changes? Do you think Switch 2 is to blame? Share your thoughts with me directly on Twitter at @Marcdachamp or on Instagram at @Dachampgaming!