Unionized Xbox workers have been sharing their views on planned widespread layoffs.
Earlier this month, Xbox CEO Asha Sharma revealed that Microsoft was in the process of ‘resetting’ its games business, which media reports indicated could result in significant job losses and the closure of multiple studios.
Initially, the developers at risk of being shut down were named by Bloomberg, and corroborated by VGC’s own sources, as Compulsion Games, Double Fine, and Ninja Theory. Earlier this week a fourth studio, Undead Labs, was also named. Sources suggest some of these studios have entered negotiations to go independent in an attempt to avoid being closed.
Now a press conference held by the Communications Workers of America (CWA) has gathered a selection of Xbox staff members across a number of unions and studios, giving them the chance to publicly express their views on the current situation.
As reported by Kotaku, the call was introduced by CWA district 9 vice president Frank Arce, who said Xbox workers “will not be treated as disposable”. Referring to Xbox’s recent decision to increase console prices, Arce added: “The money is there, leadership is simply choosing where it goes and who pays.”
Other staff during the conference also argued that Microsoft had the money to avoid layoffs, with United Video Game Workers representative Sherveen Uduwana noting that Microsoft CEO Satya Nadella was paid $96.5 million last year.
Diablo 4 senior environment artist Mahreen Fatima also noted that the company has spent billions on AI tech, arguing that Microsoft is “choosing not to protect us” and demanding proof it’s actually short enough on money to justify mass layoffs at Xbox.
During the conferences, calls were made for layoff protections for all Xbox staff – not just those who are part of a union – such as advanced notice of layoffs, two years of recall rights and hiring freezes.
“We’re done paying for executives’ failures,” added QA tester Andrew Snell, who said Xbox unions would resist future layoffs.
In July 2024, Bethesda Game Studios became the first Microsoft video game studio to fully unionize under the Communication Workers of America, after 241 developers – including artists, engineers, programmers and designers – indicated that they wanted union representation via an online portal. Microsoft has recognized the union.
Later that month Bethesda was joined by Blizzard‘s World of Warcraft development team, which also voted to unionize, becoming the first wall-to-wall union at Activision Blizzard.
