Bandai Namco Studios Cuts Over 100 Staff Amid Project Cancellations and Workflow Shifts

Bandai Namco Studios, a pillar of the Japanese video game industry and developer of acclaimed Nintendo Switch titles such as New Pokémon Snap and Taiko no Tatsujin: Drum 'n' Fun!, has experienced a significant workforce reduction over the past year.

According to reporting from Automaton and employment records from the Japan Pension Service, the studio's employee count dropped from 1,294 on April 1, 2024, to 1,177 as of February 4, 2025—a net loss of more than 100 staff members. This news follows a turbulent year for Bandai Namco, during which the company reportedly canceled several in-development projects, including one commissioned directly by Nintendo.

The impact was not limited to any single studio; Bandai Namco Studios' output for the Nintendo Switch and the wider eShop ecosystem has been integral to both its own success and to Nintendo's ongoing third-party support strategy.

The studio is currently preparing for the release of Pac-Man Shadow Labyrinth, further underscoring its sustained relevance in the market. Concerns about the manner of these staff reductions have also surfaced, stemming in part from a Bloomberg report in 2024.

That investigation alleged the company's use of so-called 'oidashibeya' or expulsion rooms—a controversial and largely traditional Japanese human resources practice wherein employees are assigned menial tasks in isolated settings, indirectly encouraging voluntary resignation.

The report claimed that up to 200 employees were affected by this method.

Many reportedly took the opportunity to pursue new positions elsewhere rather than continue with reduced, non-essential work.

In response, Bandai Namco has categorically denied the use of these tactics, officially stating that its recent staff changes were handled according to standard company procedures. The precise circumstances behind each employee departure remain confidential.

It is not clear how many exits were strictly voluntary or whether severance incentives were offered.

Industry observers note that workforce restructuring is not uncommon in times of shifting project portfolios, particularly in a market as competitive as game development for platforms such as Nintendo Switch. Bandai Namco Studios continues to bolster its game lineup for Nintendo platforms, despite this period of transition.

The studio's track record on the Switch—with hit releases like New Pokémon Snap, Taiko no Tatsujin: Drum 'n' Fun!, and anticipation building around Pac-Man Shadow Labyrinth—reinforces its enduring partnership with Nintendo and its high profile on the eShop. For consumers and industry professionals alike, Bandai Namco Studios remains a key player in Nintendo’s third-party ecosystem, and its future project announcements will be watched closely.

As details on new titles and workforce updates emerge, Nintendo Switch fans and industry analysts will be paying close attention to both the games and the organizational health behind them.

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