After nearly two years of negotiations, Microsoft Corp. has reached a preliminary agreement with the Communications Workers of America union covering about 300 quality assurance testers at its ZeniMax subsidiary, Bloomberg reported. It is Microsoft's first union contract in the United States.
ZeniMax, known for its games The Elder Scrolls, DOOM and Fallout, became the first Microsoft studio to unionize its workers. Microsoft acquired ZeniMax and its game publisher Bethesda Softworks in 2021 for $8.1 billion.
The deal includes a 13.5% pay increase across the board starting July 1, along with protections against arbitrary dismissal. The contract also includes provisions for the use of artificial intelligence and a new lending policy that recognizes testers' contributions to game development.
A vote on the ratification of the agreement is scheduled for June 20. Microsoft officials called the agreement “a significant step forward” that demonstrates the company’s commitment to constructive dialogue and a positive work environment. The union currently represents more than 2,000 workers in the video game industry.
This agreement could be an important step in the development of labor relations in the gaming industry and set a precedent for other companies.