Blizzard Employees Ratify Union Contract with AI Guardrails and Hybrid Work Benefits

Microsoft subsidiary Blizzard Entertainment has finalized a union contract with its employees after nearly two years of negotiations. The Communications Workers of America announced that over 1,900 employees across various divisions had ratified the agreement.

The new contract includes guardrails on the use of artificial intelligence, layoff protections, and hybrid work benefits for employees. This comes as a significant milestone for the video game industry, where unionization has been gaining momentum.

Blizzard's largest offices are located in Albany, New York, and Irvine, California, but the company also has remote employees in Washington state. The contract was ratified by workers from different unions, including those behind popular franchises like 'World of Warcraft,' 'Diablo,' and 'Overwatch.'

The agreement also elevates pay floors, with a 1.25% increase for all workers. However, some employees who earn below $50,000 per year will receive pay increases as high as 34%. Recall rights are another key aspect of the contract, allowing laid-off workers to be recalled into open jobs across Blizzard's union-represented teams.

The company's parent, Microsoft, purchased Activision Blizzard in 2023 for almost $69 billion. As part of this acquisition, Microsoft had signed an agreement with the Communications Workers of America, promising not to oppose unionization drives at the developer.