Square Enix Announces Major Overseas Restructuring, Impacting UK Jobs and Global Publishing Teams

Square Enix, a leading global video game developer and publisher known for franchises like Final Fantasy and Dragon Quest, is undertaking a sweeping restructuring of its overseas publishing organization.

This move, which comes amid a challenging period for the video game industry, will significantly impact staff across multiple regions, with over 100 positions in the UK alone potentially affected. According to reports first published by VGC, Square Enix president Takashi Kiryu informed international teams—including employees in Europe, the UK, and the United States—during a video call that the company would be rolling out a “fundamental restructuring of the overseas publishing organization.” The restructuring spans nearly all areas of the business outside of Japan, including sales, marketing, and publishing divisions. Official statements provided to Bloomberg and IGN from Square Enix confirm the news, describing the layoffs and operational changes as the result of an “extremely difficult decision.” While the company declined to disclose specific figures for the total number of employees affected, IGN’s reporting indicates approximately 137 jobs could be impacted in the UK alone. Employees were notified on the day of the announcement, and social media platforms have since seen several outgoing staff sharing news of their departures from the company.

Square Enix emphasized that those who remain with the publisher in overseas offices will be expected to return to in-person work more frequently as part of the operational overhaul. A progress report shared by the company details the intent behind the changes, describing a plan to "implement structural reforms in overseas publishing organizations to further strengthen global publishing capabilities and improve operational efficiency." The report estimates these reforms will result in savings of around 3 billion yen—equivalent to roughly $19.6 million in US dollars. A spokesperson for Square Enix reiterated the company’s gratitude toward departing employees, stating, “We extend our heartfelt gratitude to those affected.

During this period of transition, we remain committed to treating each individual with the utmost respect and providing extensive support throughout this process.” It is important to note that these layoffs are reportedly unrelated to Square Enix’s recently announced initiatives to automate 70% of its quality assurance (QA) and debugging processes in game development using generative AI technology by the end of 2027.

Industry journalist Jason Schreier clarified that today’s reductions are separate from those technological ambitions. This latest development follows Square Enix’s earlier decision to divest a significant portion of its international development studios to Embracer Group over three years ago, signaling a sustained period of transformation for the publisher’s global footprint.

As the video game industry faces ongoing economic headwinds, additional details regarding Square Enix's workforce and operational plans are expected in the coming weeks. For now, the focus remains on the transition for affected employees.

The gaming community and industry observers alike continue to watch Square Enix’s next moves, hoping for stability and future growth in its international business activities.

Square Enix Enix UK Square VGC IGN Bloomberg Takashi Kiryu Embracer Group Europe United States