Labor Relations
Ongoing coverage on Labor Relations.
Latest coverage
Take-Two boss "not in the least" concerned bad press around Rockstar's employment tribunal will affect GTA 6 launch
Take-Two Interactive CEO Strauss Zelnick expressed no concern about potential negative impacts on the Grand Theft Auto 6 launch due to recent press surrounding Rockstar Games' employment tribunal and alleged union-busting. Zelnick highlighted the company's pride in its labor relations and low attrition rates, stating that game development practices are separate from labor relations. The article also touches on Take-Two's financial report and the increasing shift towards digital game distribution.
EA taken private by Saudi Arabia, GTA marketing jumps the shark, and Devolver's huge mistake - Patch Notes #64
Electronic Arts has been taken private by an investor consortium led by Saudi Arabia's Public Investment Fund for $55 billion. Devolver Digital is seeking to delist from the London Stock Exchange due to the incompatibility of short-term investor demands with the volatile video game industry. Additionally, the next trailer for Grand Theft Auto VI will premiere exclusively on Netflix before a wider release.
King declines collective bargaining agreement with Swedish unions
King, the developer of Candy Crush, has decided not to enter into a collective bargaining agreement with Swedish trade unions Unionen and Sveriges Ingenjörer. The company stated that its existing benefits and operating structure are better suited for its employees and operations in Sweden. This decision follows nearly a year of negotiations and comes despite employee interest in the security and influence a CBA could provide.
Candy Crush maker King has declined staff's collective bargaining agreement
King, a Microsoft-owned studio known for Candy Crush, has declined its staff's collective bargaining agreement after a year of negotiations with Swedish trade unions. The company cited its current benefits and operating model as reasons for the decision, stating they are better for employees and the company's operations in Sweden. Union representatives expressed disappointment but remain committed to supporting King's staff.
"If Quantic Dream wants to destroy jobs, it must pay": French union call strike as they demand extension to layoff negotiations with Star Wars Eclipse studio
The French union Syndicat des Travailleureuses du Jeu Vidéo (STJV) has called for an open-ended strike at Quantic Dream, citing stalled negotiations over planned layoffs affecting approximately 115 workers. The union accuses the company of imposing illegal deadlines and ignoring worker proposals, demanding an extension to the negotiation period and the inclusion of their propositions in the layoff plan.
Two years later and Wizards of the Coast loses another president
John Hight, President of Wizards of the Coast, is stepping down after two years in the role. This follows a period of significant financial performance for brands like Magic: The Gathering and Dungeons & Dragons, but also challenges in video game development and labor disputes within Magic: The Gathering Arena. Hight will transition to an advisor role with Hasbro, the parent company.
Two years on from taking the role, Wizards of the Coast's president is stepping down
John Hight is stepping down as President of Wizards of the Coast on September 1st, after two years in the role, and will move into an advisory position. This transition occurs shortly after parent company Hasbro reported a significant impairment charge. Wizards of the Coast stated that its core games, Magic: The Gathering and Dungeons & Dragons, are performing well, and their upcoming video game slate remains on track.
Rise of the Robots
Hyundai has stated that its plans for humanoid robots are not part of discussions with striking workers. This clarification comes amid ongoing labor negotiations.
MMO Business Roundup: GTA 6’s union meeting, EA’s Saudi sale, and Steam’s wishlist updates
Rockstar Games' union reported a positive first meeting with management regarding negotiations for worker protections like no crunch and pay transparency. Separately, the European Union Commission cleared Electronic Arts' $55 billion sale to Saudi Arabia's Public Investment Fund, making the deal more likely to finalize. Steam has also updated its wishlist functionality to include categories and improved search.
Saudi-led EA buyout receives EU approval, Xbox trials ad-supported game streaming, and Poinpy is eternal - Patch Notes #62
The European Commission has approved the Saudi-led buyout of Electronic Arts, while Xbox is trialing ad-supported game streaming for select titles. Separately, the mobile platformer Poinpy has returned, and news emerges about a revived Kinect game, scrapped Pokémon designs, and legal disputes involving Nintendo and Bethesda employees.
Rockstar Games Workers Union say their first meeting with the GTA 6 studio's management was "a step in the right direction"
The recently formed Rockstar Games Workers Union, part of the IWGB, has described their first meeting with Rockstar management as a positive step towards voluntary recognition. The union has secured a roadmap for negotiations and plans to address issues like crunch, pay transparency, flexible working, and AI usage if recognized. They can pursue statutory recognition if voluntary agreement is not reached.
After claiming GTA 6 devs have crunch "built into" their contracts, union says "first meeting with Rockstar management" was "a step in the right direction"
The Rockstar Games Workers Union has had its first meeting with Rockstar management following its bid for recognition, calling it a step in the right direction. The union aims to negotiate terms including no crunch, paid overtime, pay transparency, flexible working, no layoffs, and protection against AI job replacement. Rockstar has requested negotiations before agreeing to voluntary recognition, and the union is working to define the bargaining unit.
Microsoft is apparently reneging on its promise to bargain with laid-off Bethesda Montreal devs
Microsoft is reportedly reneging on its promise to bargain with laid-off Bethesda Montreal employees regarding severance packages. The Bethesda Game Studios union claims that Microsoft/Xbox informed affected workers they would receive the minimum legal severance without negotiation, contradicting earlier assurances. This alleged violation of labor laws has led the union to file a complaint and encourage public feedback to Microsoft.
Union accuses Microsoft of unlawfully laying off staff in legal action
The Communication Workers of America (CWA) union has filed an unfair labor practice complaint against Microsoft, alleging unlawful layoffs and bad-faith bargaining. CWA Canada has also taken legal action regarding employee dismissals at Bethesda Game Studios Montreal. Microsoft stated they are committed to the bargaining process and supporting affected employees.
Union slams Microsoft for "unfair labor practice", alleging Xbox "unlawfully" laid off staff
Microsoft's Xbox division is facing accusations of unfair labor practices, including unlawfully laying off staff without proper union notification or discussion. The Communications Workers of America (CWA) has filed complaints alleging refusal to bargain and coercive actions. Meanwhile, Netflix reported a 600% surge in kids' game engagement, driven by its dedicated mobile app, and expressed confidence in scaling its cloud gaming offerings.
ZA/UM are set for more layoffs only two months after launching Zero Parades: For Dead Spies
ZA/UM is reportedly laying off over 30 employees, approximately one-third of its studio, just two months after the release of Zero Parades: For Dead Spies. The company cited the game's commercial performance as the reason for the layoffs, despite its critical acclaim. This follows previous controversies and the formation of the ZA/UM Workers' Alliance, the UK's first recognized video game union.
"Don't fall for it": Union says Fallout 5 and Elder Scrolls 6 news shouldn't distract you from huge Bethesda layoffs as Xbox CEO praises the series' "remarkable" achievements
The United Videogame Workers-CWA union claims Bethesda's announcements about Fallout 5 and The Elder Scrolls 6 are a deliberate distraction from recent mass layoffs at Bethesda and Obsidian Entertainment. Xbox CEO Asha Sharma praised the franchises' achievements, while unions filed unfair labor practice complaints against Microsoft regarding the layoffs.
Unions file unfair labor complaints accusing Microsoft of ‘unlawful’ firings and ‘coercive’ action at Xbox studios
The Communications Workers of America (CWA) union has filed unfair labor practice complaints against Microsoft and Xbox studios, including ZeniMax Online Studios, over recent layoffs. The complaints accuse Microsoft of failing to provide information, modifying contracts, engaging in surveillance, and refusing to bargain with union members. Xbox has stated they are committed to beginning bargaining with the CWA.
Over 4,500 Google workers have signed a petition calling for layoff protections: 'These layoffs and cuts are not difficult decisions, but simply profit being put over the people that make this company run'
Over 4,500 Google workers have signed a union-led petition demanding layoff protections, including guaranteed severance and buyouts, citing profit over people. The petition was delivered to CEO Sundar Pichai's office amidst ongoing tech industry layoffs attributed partly to AI advancements. Google parent company Alphabet's market cap has quadrupled, yet workers feel their contributions are undervalued.
Unions accuse Microsoft of having "unlawfully fired people" in unfair labor practice complaints filed over Xbox layoffs
The Communications Workers of America (CWA) and CWA Canada have filed unfair labor practice complaints against Microsoft, alleging unlawful firings and bad-faith bargaining during recent Xbox layoffs. The unions accuse Microsoft of failing to notify or discuss layoffs with them, despite ongoing collective agreement negotiations. An Xbox spokesperson stated the company respects employees' rights and is committed to the bargaining process.
