Two Union Groups Endorse Microsoft – Activision Merger To The EU, Here’s Why

UNI Global Union, previously known as Union Network International, and the Communications Workers of America (CWA), have endorsed the Microsoft purchase of Activision Blizzard King to the European Commission.

That may seem unlikely in its face, but it does make sense if you know the details. But first, here is what UNI said in regards to their endorsement, as they share on their website:

“We know that the commission is focusing on the effect the deal will have on consumers, but it cannot ignore the role this deal would have in making the video game labour market fairer for workers. This is an industry where workers are crushed by excessive hours and low pay while facing sexual harassment and discrimination. It is an industry that needs an expansion of worker protections, and Microsoft’s commitment to labour rights will help make that happen.”

The UNI goes on to explain that this endorsement is based on one specific reason: Microsoft, the party that intends to make the acquisition, is committed to allowing collective bargaining and unionization of their workers.

Microsoft proved true to their word when Zenimax’s 300 QA test workers formed a union just last month. They were promptly recognized by the company.

This is no small thing for the unions. Essentially it is industry practice for video game companies not to allow unionization, and even take actions so that such efforts would be suppressed.

There is another side to this as well, as explained by the CWA. The thing is, the unions have been struggling to get recognized, and promptly bargain with, the subject of Microsoft’s acquisition, Activision Blizzard King.

Here is what the CWA said about their efforts to negotiate with Activision, as reported by GamesIndustry.Biz:

“Since 2021, CWA has been supporting workers at Activision Blizzard to organise a union. They have faced management intransigence at every turn.”

In contrast, Microsoft signed a labor neutrality agreement with the CWA in June 2022. This means that Microsoft has also made a commitment to the union organization, which would allow their employees to form unions in the future.

As the CWA puts it:

“Microsoft’s binding commitments will give employees a seat at the table and ensure that the acquisition of Activision Blizzard benefits the company’s workers and the broader video game labour market.”

In the meantime, management woes at Blizzard continue even now. As reported by Polygon, a recent Q&A meeting between Blizzard president Mike Ybarra and his employees backfired when Ybarra failed to address their concerns, and the backlash grew after the meeting.

If there were any questions about the reasoning or nature of these union endorsements for a giant merger between two conglomerates, those questions should no longer persist. Microsoft is seen, if not unions’ savior, at least the better of two evils in this scenario.

Consequences will be dire for Activision Blizzard King’s own workers if the deal does not go through. For whatever concerns the European Commission or other regulators have about the deal, they need to mind this as well.