The Elder Scrolls Onlinemaker ZeniMax Online Studios is losing senior and lead talent as part of the Xbox layoffsaffecting 379 workers across ZeniMax altogether.
First reported byGame File, the cuts include Joe Burba, a 14-year veteran of the studio who was appointed to run it last July, as wellThe Elder Scrolls Onlineexecutive producer Susan Kath, production director Ala Diaz, and studio game director Rich Lambert.
The leads, according to the report, notified workers about plans to “transition” to a new leadership team consisting of promoted ZeniMax Online Studios veterans. That transition will occur “over the next few months,” according to a copy of the notice reviewed by Game File, which reportedly said the following: “We will remain in place during the transition period to help ensure a smooth handoff.”
While there were many individual roles affected across pretty much every department, the quality assurance (QA) division was hit especially hard, with around 89 staff members listed in the WARN notice. This includes a QA manager and QA administrative assistant.
Per the WARN notice, the layoffs will occur on September 4, and set to complete that day for most of the affected workers. Approximately 289 of the impacted staff are represented by the Communications Workers of America.
“For those represented employees who are not yet subject to a collective bargaining agreement, the Company will engage in effects bargaining with the union to determine the employee’s actual termination date,” the notice states. “In addition, some employees may be offered the opportunity to remain employee for a short time period to complete specific projects.”
To recap: 213 people are part of the layoffs at ZeniMax Online Studios, while another 166 employees are being laid off at the offices of ZeniMax Media Inc. in Rockville, Montgomery Country.
Microsoft announced these layoffs last week, which are part of 3,200 job cuts across Xbox. According to the company’s official line, these are part of a “reset” sanctioned by division leader Asha Sharma, who joined Xbox earlier this year. Microsoft explained 1,600 people were being laid off immediately, with another 1,600 cuts to follow before the end of the current fiscal year in June 2027.
Now, labor unions in the United States and Canada havefiled unfair labor practice (ULP) chargesagainst Microsoft for allegedly mishandling this latest round of mass layoffs.
“The unions CWA and CWA Canada have jointly filed unfair labor practice complaints against Microsoft alleging the company has unlawfully fired people without giving notice to or discussing it with the union as the employer is legally obliged to do when we are in the middle of ongoing bargaining a collective agreement,” said CWA Canada president Carmel Smyth in an email to Game Developer.
“Basically the employer can not arbitrarily change working conditions while it is engaged in negotiating with the union. We will continue to file legal challenges if necessary, and do all we can to defend the rights of Bethesda Game Studios workers.”
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