Don't Nod Montreal Hit by Layoffs Following Lost Records Launch

Image: Lost Records Bloom & Rage (Don't Nod)

Don’t Nod Montreal, the studio behind Lost Records: Bloom & Rage, has been impacted by layoffs. While the exact number of job losses hasn't been confirmed, multiple affected team members have publicly announced their departure, raising concerns about the stability of the studio’s future.

Spotted first by journalist Adnan Riaz, the news emerged through LinkedIn and Bluesky posts from former Don’t Nod Montreal staff, including technical artist Laurent Dufresne, level designer Mathieu Tremblay, principal cinematic artist Mary Pouliot, and QA lead Sandra Cormier. Although no official statement has been released by the company, the language used in these posts—describing the situation as a "layoff wave"—suggests the impact could be larger than what’s currently visible through social media posts.

These layoffs follow previous internal turbulence. In late 2024, Don’t Nod’s main office in Paris faced a labor dispute after plans to cut 69 positions. The STJV (Syndicat des Travailleurs du Jeu Vidéo), a union representing video game workers in France, had publicly opposed the move. Eventually, they negotiated 46 voluntary exits and managed to retain 23 positions, with only one forced layoff at the time. This development marked the first wave of job instability within the company.

Unlike the Paris office—which has led the development of titles such as Banishers: Ghosts of New Eden and Jusant—Don’t Nod Montreal was established as a creative arm focused on developing new IPs. Lost Records: Bloom & Rage was its debut release and was pitched as a narrative-driven, episodic adventure in the vein of Life is Strange, one of the studio’s earlier hits.

Despite high expectations, both Banishers and Jusant reportedly underperformed commercially. Don’t Nod disclosed in September 2024 that revenue had dropped 11% compared to the previous year. While Lost Records was later described as having sales “in line with forecasts,” it was also acknowledged that the game benefited from a strategic partnership with Sony, which may have buffered weaker-than-hoped retail performance.

Don’t Nod is expected to release its half-year financial report around October 2025, which may offer more transparency on the commercial performance of Lost Records and the studio's future direction. As of now, Don’t Nod has not issued an official comment regarding the Montreal layoffs or any future restructuring plans.

This development comes at a time when the broader games industry continues to grapple with widespread layoffs. More than 2,500 developers have lost their jobs in 2025 alone, with cuts reported across major companies like EA, Jagex, People Can Fly, and Build a Rocket Boy.

Players who are curious about Lost Records: Bloom & Rage can experience it on PC, PlayStation 5, and Xbox Series X|S. It got generally positive reviews, especially for its storytelling and emotional depth, though some critics noted pacing and gameplay limitations.