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Unions In The Gaming Industry – A Look at Hope Amid the Layoffs

Waluigi other gaming images showcasing unionization

A while back, I wrote a brief article where I talked about unions in gaming. After the recent happenings within the gaming industry over the past few years, especially with the layoffs yesterday, I want to talk about unions once again. So let’s talk about Unions in gaming and if they could really help the industry.

Layoffs Once Again

Microsoft cut around 9,000 jobs yesterday on 7/2/2025, affecting teams across multiple divisions, including Xbox. The layoffs account for roughly 4% of the company’s global workforce and hit several studios within Xbox’s gaming arm, including developers working on Forza Motorsport. While Microsoft hasn’t shared many specifics, reports suggest the move is part of a larger effort to streamline operations and double down on key growth areas.

How Could Unions Help

So I’ve been a union representative at my job for around 9 years at this point. While the gaming industry is a whole different beast than my job, there are benefits, in my opinion, for having unions in gaming. Some of these are pretty easy, such as protecting workers from exploitation. Union contracts can limit mandatory overtime, which we know as crunch, and ensure fair pay for all levels. This would include multiple levels, such as QA testers, artists, and writers. These groups are the people who are often treated as disposable. It doesn’t have to be relegated to them. Unions in gaming can also provide stronger protections during layoffs, including severance, transparency, and better job security, which we will talk about shortly.

Another way they can benefit is by helping shift the “power dynamic.” Right now, major publishers (Xbox, EA, Ubisoft, etc) hold most of the cards. Unions can give developers a collective voice to push back against unrealistic deadlines, abusive leadership, and bad management decisions that damage both workers and games. When developers and people within the industry aren’t burned out or fearing layoffs every few months, they can focus on innovation, polish, and long-term creativity. This could lead to fewer broken or rushed releases. It equates to a “quality of life = quality of games situation.”

This encourages stability within the industry at all kinds of levels. The endless “growth or die” mindset has led to unsustainable spending, risky mega-projects, and massive layoffs when expectations aren’t met. Unions in gaming could advocate for a healthier, steadier model rather than chasing the next billion-dollar hit.

What Unions Can’t Fix By Themselves

Publisher greed and executive bloat are something that almost everyone can see. While it sucks it is an unfortunate inevitability and everyone knows it exists. Even with unions, unfortunately, corporations may and probably will continue to prioritize shareholders over product quality or employee welfare. Unions in gaming also might not necessarily help with economic downturns and oversaturation in the industry. The gaming industry is currently viewed as being bloated with too many studios, too many projects, and not enough consumer dollars to go around.

Unionization doesn’t solve market realities. Then they experience toxic fandoms of all kinds and public backlash on the internet. We saw this big time after yesterday. After events started to unfold, developers who were and weren’t being laid off started to face harassment from fans and critics. This is also something else that unions can’t necessarily stop.

People at GDC with unionization banner
Image Credit: David Lumb/CNET

Minor Examples and Traction Gained

I personally, have been happy to see the traction that unionization has gained. We’ve seen some continuous efforts from people like ZeniMax (Microsoft-owned), where we’ve seen QA workers unionize. Activision/Blizzard workers have even organized at several studios. Then there are indie studios like Tender Claws that have also moved toward collective bargaining. I will say the movement is young, but it’s growing.

What About The Layoff Situation

The massive layoffs at Microsoft/Xbox yesterday (including previous ones from key teams like Bethesda, Arkane Austin, and Tango Gameworks) are part of a brutal industry trend. Tens of thousands of jobs have been lost over the past 18 months or so, even as companies post record profits. Unions can’t completely prevent layoffs, but they could mitigate the damage, give workers more leverage, and slow the pace of these cuts. These different things obviously can depend on a few different factors, such as their specific “Collective Bargaining Agreements” and state laws. Different places could have different CBAs, so that is why that part can play a factor in their situations.

How Unions Could Help in Situations Like This

One of the common ones that many people know about is the different severance and support benefits. Union contracts often require strong severance packages, extended health benefits, and career transition support after layoffs. While some companies already do this, there are an abundance of game devs today who are let go with little to no safety net. Each union is different, though. For example, there is no severance of support packages if I get laid off at my job. However, at my job, we have a certain way that layoffs have to happen. Layoff protections are a big thing for me when I vote for contracts at my work. This could be a huge benefit because some unions can negotiate rules around layoffs, like I mentioned.

For example, last-hired, first-fired protections or mandatory notice periods before job cuts happen. While these don’t have to be the exact things, as the workers/devs/etc can negotiate whatever they feel is most important. Some might prefer the “advanced warning & transparency” approach. With union involvement, leadership could be legally required to disclose major decisions sooner. They could even have to justify layoffs in a way that doesn’t blindside workers. In addition to that, while unions can’t guarantee no layoffs, they could definitely push back on executive overreach, unnecessary cuts, or shareholder-driven decisions that sacrifice workers for stock prices.

Why Unions Alone Can’t Fully Stop Layoffs

Unions in gaming can’t fully stop layoffs all by themselves. The Xbox/Microsoft yesterday and layoffs over the past many months are largely the result of multiple reasons. Those reasons are corporate consolidation, like with Microsoft’s $69B acquisition of Activision/Blizzard/King, and a market correction after the post-pandemic gaming boom. Not only that there are also times when companies decide to “trim the fat” to satisfy investors. In addition, economic pressures often outweigh worker protections unless union power is very strong and widespread. The tech and entertainment industries have always been notorious for layoffs and are volatile by nature.

What Could Happen With Stronger Unions

If there were more and stronger established unions in gaming, things could be or could have been different. Could you imagine if studios from the layoffs yesterday, like Turn 10 or even ones from previous layoffs like Bethesda, Arkane, and Tango Gameworks had established unions?

  • Developers could have had a say in how the downsizing was approached.
  • They might have negotiated to save key teams or at least delay closures until alternative solutions were explored.
  • It would have been much harder for Microsoft to simply erase entire studios overnight without public negotiation or financial accountability.
Posters saying we're not done yet
Image Credit: UNI Global Union

Together, We Can Redefine the Future of Game Development

At a time when so many talented developers are facing uncertainty, layoffs, and burnout, unions in gaming offer something the gaming industry desperately needs. That is stability, dignity, and a voice for the people who actually make the games we love. Unionization won’t solve every challenge overnight, but it’s a powerful step toward creating a healthier, more sustainable industry. That would be one where creativity can thrive without being crushed by corporate greed.

If you need real-life examples, you could look at SAG-AFTRA and how they have represented their people in their extended strike to get them what they deserve. This goes beyond these industries, even to places like the NBA. I believe by standing together, workers can help ensure that the future of gaming is built not just on profit, but on respect, fairness, and human passion. I would like to hear your thoughts on the situation, and always be kind to those affected by these situations.

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