Layoffs and studio closures have been an unfortunately-common occurrence across the industry since last year, with layoffs in 2024 already matching 2023’s total of over 10,000 developers being put out of work. Yet if there is one bright spot to find in this bleak reality, it is, ironically, in the same city as the departed Tango. Its closure, undeniably tragic, is an exception in a country seemingly insulated from the industry-wide devastation occurring beyond its borders.
It’s a trend across the industry in the country. In my own conversations with Japanese developers, many have acknowledged the concerns for friends in the industry internationally while admitting a level of confidence and job security that simply no longer exists no matter the company beyond Japanese borders.
Under Japanese employment law, layoffs are incredibly difficult to implement – unless the company is under severe financial difficulty and at risk of insolvency in a manner layoffs could alleviate, after other cost-saving measures have been undertaken, layoffs for permanent employees are all-but impossible.
Because Americans let themselves be fooled by branding obvious anti labor laws ‘at will employment’.
The fact you have a required notice period in both directions makes sense. And the bar for firing someone should be structural provable documented underperformance and several plans for remediation by the employer.
People should not be disposable assets.
Human resources says it all. And nowadays HR people are also labelled HR Business partner. So the mask is fully off now. Just in time for structural labor shortages and recruiting problems.