Symplectic reduction is the natural quotient construction in symplectic geometry. Given a free and Hamiltonian action of a compact Lie group G on a symplectic manifold M, this produces a new symplectic manifold of dimension dim(M) - 2 dim(G). If we drop the freeness assumption, the reduced space is usually fairly singular, but Sjamaar-Lerman showed that we can still decompose it into smooth symplectic manifolds which “fit together nicely” in a precise sense. In this talk, I will explain how to get an analogue of Sjamaar-Lerman’s result in hyperkähler geometry and give interesting examples coming from the so-called Nahm equations.