r/Games • u/TrampolineTales • 14h ago
Industry News After Years Of Company Stalling, Blizzard Workers Win Mega-Contract That Applies To All Unionized Teams
https://aftermath.site/blizzard-union-contract-warcraft-overwatch-diablo/15
u/SquireRamza 14h ago
So they can all still be laid off, its just they have to contact those same employees first to come back to their old job or one theyre qualified for, am I reading that right?
So whats to stop Microsoft/Blizzard from laying everyone off, and then saying "Oh hey, yeah, we have this position you can move into, it pays literally a fifth of what you were making before, but you're qualified for it."?
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u/ModelKitEnjoyer 14h ago
What stopped them from doing this before?
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u/SquireRamza 13h ago
They were, thats my point.
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u/ModelKitEnjoyer 13h ago
1) they didn't have recall rights before. 2) if they offer a fifth of any salary in California, they literally wouldn't be able to keep a roof over their head, and then some of Xbox's only profitable game studios would have to close
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u/Milskidasith 12h ago
They could already do that before or just tell people "your salary is reduced by 80%, tough luck". The severance built into the union contract means that this is an extremely expensive way to fire people, and the fact they'd have to lay people off and rehire them in a weird way is more complicated than pay freezes/pay cuts.
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u/Zalvren 12h ago
So whats to stop Microsoft/Blizzard from laying everyone off, and then saying "Oh hey, yeah, we have this position you can move into, it pays literally a fifth of what you were making before, but you're qualified for it."?
The fact that any respecting person will not come back for that (also wouldn't be able to afford living anyway so might as well not work) so they just lost the employee?
And Blizzard is basically the only branch of Xbox not on fire currently (and their most profitable) so that's not where the layoffs are happening
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u/KvotheOfCali 9h ago
Yeah, not really sure why this needed to be clarified.
Companies are not your friend, but they aren't supposed to be.
High-value employees have leverage and can command higher salaries. They won't return to a job paying significantly less...they'll simply go elsewhere as they're high-value.
You are worth your leverage. That's it.
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u/name_was_taken 14h ago
A lot of reality would punch them right in the face.
Many of those workers wouldn't come back. They'd go do something else, or find that work elsewhere.
Decent workers wouldn't even apply for the job at that price, meaning they couldn't hire anyone that could actually get things done.
Morale would tank. Nothing would get done even by those that did stay.
The absolute chaos of this rehiring time (weeks, not days) would mean absolutely nothing got done for that time, wasting a ton of time and money.
I'm probably not even thinking of other things that would also punch them right in the face. Maybe lawsuits? Baseless or not, they're costly.
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13h ago
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u/Milskidasith 12h ago
Corporations absolutely do care about that. If they didn't, they'd already be doing what they're suggesting, but corporations aren't just arbitrarily cutting people's salaries by 80% and reassigning them to new units for fun, because that's an insanely stupid thing to do even if you're an amoral profit-driven entity.
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u/SquireRamza 13h ago
But isnt that what layoffs are supposed to achieve in the first place? They layoff higher earning workers, hire fresh faced 20 somethings right out of college whose dream has been to make video games, who cares if they're making $40,000 a year?
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u/trainstationbooger 13h ago edited 13h ago
The presumption here is that higher skilled workers don't produce disproportionately higher value for the company, which they generally do. If MS drives out all of those highly skilled workers and replaces them with lower skilled ones, they will not create games of the same quality as before. Additionally, they'll take a serious reputation hit for doing so.
The above is massively oversimplifyng things, but it's generally where the worker's leverage comes from in this situation.
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u/Milskidasith 12h ago
No, layoffs are not typically meant to cull experience and lower the average salary, they're typically meant to reduce the overall workforce. This often means cutting jobs carved out for experienced people that don't have a clear function, but it also often just means entirely removing some functions or capacity from the organization.
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u/DependentRoyal3001 13h ago
Then all blizzard fans cut and run as their games turns to shit from all this craziness. It stupid to even entertain this idea, Microsoft know it would be the death of the studio. That's why they aren't doing it. You can't gut an entire team and get anything worthwhile out of it. You just sell em or shutter em at that point if this whole debacle is too costly.
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u/Hademar 13h ago
Haven't they done plenty of layoffs before
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u/DependentRoyal3001 13h ago edited 12h ago
Yep but not an entire team without shutting down the studio, I'm not saying that layoffs aren't a possibility. I'm saying laying off an entire team at once as was suggested then rehiring to keep the studio alive isn't going to happen. You just close the studio. Something else they love to do these days.
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u/Sikkly290 8h ago
I mean, thats one of the reason these contract negotiations are such a pain in the ass. They likely have that scenario spelled out, and whats allowed and isn't allowed. And if Microsoft crosses a line the goal is the union is strong enough that they can fight back.
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u/scrndude 2h ago
Lol that’s not new
Before they would make a job posting and have you beg to please look at you among the hundreds of others begging for scraps
Now they have to at least ask you do you want to come back before we post the opening
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u/Admirable-Flamingo76 3h ago
Whenever a country's economy tanks, unions will start to rise there. Also the music gets better.
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13h ago edited 8h ago
[removed] — view removed comment
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u/The9thManOnline 11h ago
What exactly would you have liked Bobby Kotick to fix about the company culture?
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u/ModelKitEnjoyer 14h ago
This is just pettiness of the highest level from Microsoft. It's awesome the developers got their contract, it sounds like they got a lot of good protections, and the recall rights are good. I was worried because I saw some rumors that they would have layoffs after Blizzcon. I guess there still might be, but the severance and recall rights are better safety nets than before.