The fallout from Microsoft's July 6 Xbox restructuring continues to escalate. The Communications Workers of America (CWA) and CWA Canada have filed joint Unfair Labor Practice (ULP) charges against Microsoft with the National Labor Relations Board (NLRB), alleging the company unlawfully fired unionized developers without properly notifying or consulting their unions.
What the Charges Allege
On July 15, 2026, the CWA and CWA Canada lodged joint ULP charges with the NLRB. The charge was filed against Microsoft and subsidiaries including Xbox, ZeniMax Media, id Software, Bethesda Game Studios, and others, for allegedly failing to provide information to the CWA and engaging in bad faith bargaining.
The formal allegations are wide-ranging. The CWA accuses Microsoft of bad faith bargaining, coercive actions, contract repudiation, and failing to provide notice to employees. The ULP charge also accuses Microsoft of modifying unionized member contracts and engaging in "coercive actions" such as surveillance.
CWA Canada president Carmel Smyth stated the employer "can not arbitrarily change working conditions while it is engaged in negotiating with the union." Xbox, in response, said it had reached out to begin effects bargaining and remained "committed to that process."
id Software and the Doom 2016 Veterans
The charges carry particular weight for Doom fans. Sources told Game Developer that around two thirds of those still at id Software who worked on Doom (2016) were laid off at the beginning of July. A Texas WARN notice confirmed the impact on id Software at 136 people.
According to a current id Software employee who spoke to Game Developer, several of the people who worked what they called an "unsafe number of hours" to complete Doom (2016) were among those cut.
One dimension of the story that has received less attention: id Software's workers had unionized just seven months before the layoffs, with the studio's 165 workers achieving CWA certification in December 2025. Because the studio had not yet ratified a first contract by July 2026, it lacked the contractually enforceable advance-notice requirements and recall rights that studios with completed agreements were able to invoke.
Studio co-director Hugo Martin pushed back on the most alarming reports during a livestream. Martin denied the studio had been "gutted," saying: "We're the size we were when we made Doom (2016) and id Tech is very much alive and well." However, sources told Game Developer that the loss of so much institutional knowledge overnight raises serious questions about how key studios like id Software will deliver the success Xbox needs.
Protests and Broader Impact
On July 15, the "Save Our Devs" campaign staged coordinated marches at six Xbox locations across four cities - the first multi-studio labor action of its kind in gaming history - after Microsoft eliminated approximately 3,200 Xbox jobs, 440 of which were union-represented positions.
On July 6, Microsoft announced it would immediately cut 1,600 jobs across its Xbox division, with plans to eliminate another 1,600 employees over the coming fiscal year. The layoffs hit Activision, Blizzard, King, Mojang, Xbox Game Studios, and ZeniMax - which covers Arkane, Bethesda, id Software, MachineGames, and ZeniMax Online.
The specific toll across ZeniMax entities is significant. The primary source reports 96 on-site and 40 remote staff laid off at id Software, 213 at ZeniMax Online Studios in Maryland, 166 at ZeniMax Media, 40 remote workers at BGS Dallas, and 22 at BGS Austin.
The legal process faces a structural headwind: the NLRB is currently dealing with a "historic" backlog of cases after 2025. One current id Software employee and union member told Aftermath they were proud of the legal action taken, stressing: "It's important, even for the world's largest and most profitable companies, that there are consequences for violating federal labor law" - and that inaction would signal to other game executives "that they can break the law and get away with it."
The Deal Angle - Doom (2016)
The studio behind Doom (2016) is now a fraction of its former size, but the game itself remains one of the best-value shooters available. If the news has you revisiting id Software's legacy, it is worth checking current prices.
Vásárolj Doom
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Doom (2016) is currently available from key resellers for as low as HUF1564.61 - a strong pick-up for anyone who hasn't experienced the reboot that started it all.
