Almost too strong, seeing as how they heal completely after every fight! I'm pretty sure that wasn't in Silva Saga I... it makes the idols much more useful, but it also makes it tempting to just rely on the mercs to slaughter everything (which I assume would be a bad idea, since they probably can't handle later bosses on their own. My mercs have completely wiped the floor with absolutely everything else I threw them at, though, and they're just starting mercs who have leveled outrageously from all the stuff they murdered.)
There's something mildly amusing about having the townsfolk begging me to kill a monster; idly marching up to it, snapping my fingers, and doing my nails while my mercs splatter it all over the wall; then coming back to collect a reward... also, apparently 100 gold is enough to make these guys my slaves for their entire lives? It was more amusing in the first game, where it fit in with how you'd expect a prince to actually handle all these things, but it's still amusing here.
EDIT: Back on the subject of the translation, I thought the Bakemono thing was a bit weird, too. And I didn't even notice the space thing until it was mentioned here, but now it feels like everyone is talking - like - this!