In the wake of mass layoffs impacting around 9,100 Microsoft employees, including many in the Xbox division, the union representing ZeniMax Online Studios has spoken out.
ZeniMax Online Studios United (ZOSU), which represents developers of both The Elder Scrolls Online and the now-canceled unannounced MMO, has released a statement addressing these layoffs and the future of its members.
ZOSU confirmed that, as of now, its members remain employed by Microsoft and continue to receive their pay and benefits. However, this situation is likely temporary. The union is currently in negotiations with Microsoft to determine how the workforce will proceed after the cancellation of the MMO project. While layoffs are a possibility for some workers, ZOSU expressed that their organizing efforts will ensure impacted members leave with dignity.
Formed in December, ZOSU initially consisted of 461 employees, including web developers, engineers, designers, and graphic artists. Despite still being without a formal contract with Microsoft, the union has made significant progress, with their sister union, ZeniMax Workers United, securing a deal in May for QA workers at ZeniMax.
For the time being, ZeniMax Online Studios employees remain protected under the union’s agreement, and their future is being actively negotiated. This development comes as other major projects, such as Perfect Dark and Everwild, have been canceled, leaving many questions about Xbox’s direction and the fate of its gaming portfolio.