Xbox Layoffs Spark Union Push Among Austin Game Developers

Austin-based game developers are pushing for a union contract in the wake of Microsoft's Xbox layoffs, which affected over 1,600 employees. The company announced the workforce reduction as part of its 'Resetting Xbox' plan, citing lower margins than comparable businesses.

Maryland-based Bethesda Game Studios, which was acquired by Microsoft in March 2021 for $7.5 billion, saw several workers laid off immediately, including Anne Barrett, a game programmer who joined the studio in 2019. Barrett is also a member of CWA Local 6215, which represents around 300-350 Microsoft employees based between Austin and Dallas.

The union has been negotiating with Microsoft for three years, focusing on securing a safe working environment and job security. They have filed unfair labor practices against the company, alleging 'bad faith bargaining' and 'coercive action'. The CWA is seeking to establish guardrails around artificial intelligence to prevent it from replacing human workers.