On October 27, the local chapter of the French video game industry labor union “STJV” at DON’T NOD—a game studio that had been reported to be facing financial difficulties—issued a statement criticizing the company’s post-layoff development structure and other aspects of its restructuring plan aimed at ensuring business continuity.
From Financial Difficulties to Restructuring and Legal Protection
DON’T NOD is a game studio known for titles such as the original *Life Is Strange* and *Life Is Strange 2*, as well as *Vampyr* and *Lost Records: Bloom & Rage*.Note that the recent *Life is Strange* series has been developed by Deck Nine Games, and *Life is Strange: Reunions*, set for release in March 2026, is also a title from that studio.
Regarding DON’T NOD, auditors had previously expressed concerns about the company’s ability to continue operations, stating that it could run out of funds as early as November 2026 if additional funding was not secured.
Subsequently, on September 1, the company announced the launch of a new restructuring project. In a follow-up report on September 4, the company indicated that it would consolidate the development structure of its Paris studio into a single production line and potentially cut up to 90 positions.
Furthermore, according to an announcement on October 20, the Paris Commercial Court approved on the 19th the initiation of legal protection proceedings aimed at ensuring business continuity and securing funding. This freezes the payment of debts incurred prior to the start of the proceedings, allowing the company to continue operations while seeking funding and restructuring measures.
Furthermore, the latest restructuring plan revealed that up to 85 employees at the Paris studio could be subject to layoffs, while noting that the studio in Montreal, Canada—which is currently developing new titles based on Netflix IP—would not be affected.Although the company is working on its restructuring, securing external funding is an urgent priority, and there is significant uncertainty regarding the company’s ability to continue operations beyond January 31, 2027.
Concerns About the Development Structure Following Staff Cuts
Amid this situation, the DON’T NOD branch of STJV disclosed the restructuring plan for the Paris studio, explaining that all six animators, four of the eight game designers, all six associate producers, and 18 of the 22 programmers are subject to layoffs.They criticized the company for lacking the necessary structure to complete the new title “P14,” which is currently in development.
They also noted that approximately 100 staff members are working on “P14,” and that the scale of the project has not been reduced at this time. They mentioned that management plans to significantly increase outsourcing and intends to have the remaining team leaders oversee the outsourced work and take on the production duties of the laid-off staff.
In response, the union branch questioned the feasibility of the plan. It criticized management for downplaying the costs associated with outsourcing and the loss of know-how accumulated through production, arguing that short-term cost savings were being prioritized.
Looking ahead, according to the union branch, the CSE (Socio-Economic Committee), which represents employees, is scheduled to present its opinion on the plan on November 3. Following that, the French regional administrative agency (DRIEETS) will decide whether to approve the plan; if approved, staff targeted for layoffs could receive their termination notices as early as November 25.
