French developer Don't Nod has confirmed that it is laying off staff. 

In a statement to PCGamesInsider.biz, a rep for the company said that it was having to make layoffs at its Montreal studio due to economic situation. Don't Nod said that it had looked at other options but had not found a solution. The company did not say how many staff are affected by this decision. 

"We are saddened to confirm that, following the completion of Lost Records: Bloom & Rage, we had to make the difficult decision to proceed with a new round of layoffs, this time affecting our studio in Montreal," a spokesperson said. 

"This decision was taken after exploring all other possibilities and ultimately reflects the challenging reality of maintaining sustainable operations in a difficult economic context for Don't Nod. We want to sincerely thank every team member affected for their dedication and contributions throughout the development of Lost Records. Their talent and commitment were instrumental in bringing the project to life." 

This follows reports that there were layoffs at Don't Nod Montreal last week.