- Microsoft assured workers during a July 6 video call that they would remain employed until September 2026 while negotiating severance with the union.
- On July 15, the union filed an unfair labor practice charge with the NLRB, accusing Microsoft of failing to engage in decisional bargaining prior to announcing layoffs.
- On July 17, employees at Bethesda Montreal received termination letters offering only eight weeks of pay and immediate loss of health insurance.
- Union and supporters protested outside Microsoft studios, expressing their discontent over the layoffs.
- The union publicly accuses Microsoft of unlawful layoffs and violating labor laws, stating that the layoffs eliminated approximately 435 unionized workers.
- The termination letters stated that the Canadians were to receive the bare legal minimum in terms of severance, which included eight weeks of pay and loss of health insurance.
- OneBGS stated that the termination contradicted assurances given during the July 6 video call.
- An anonymous source claimed that Xbox is effectively telling workers, 'if we could give you less we would, but that’s against the law.'
OneBGS has filed an unfair labor practice charge against Microsoft, alleging unlawful layoffs of approximately 435 unionized workers in Montreal without proper negotiation. The layoffs, which eliminated 40 percent of the bargaining unit, were executed despite prior assurances that employees would remain until September 2026.12457
Affected Bethesda employees received termination letters stating they would receive only the bare legal minimum in severance—eight weeks of pay and loss of health benefits—contradicting earlier commitments made during a July 6 video call.6
The union claims this action violates labor laws in Canada, as Microsoft failed to engage in necessary bargaining processes. “Bethesda and Xbox leadership depend on our labour to make them millions, and yet when we do, we are disposed of,” said a union representative, emphasizing the need for fair treatment.

The ULP filed with the National Labor Relations Board highlights Microsoft's neglect to provide notice or discuss layoffs with the union, which is legally required during ongoing negotiations. The union is determined to secure better severance terms for its members and has organized protests against the layoffs, marking the fifth round of mass layoffs in three years.
Microsoft has stated, “We respect our employees’ right to make their voices heard, and we recognise that this is a difficult time for many.” The company has expressed commitment to support impacted employees while navigating this challenging transition.
“The ULP filed with NLRB claims Microsoft eliminated 40% of unionized workers since January, creating an 'existential crisis' requiring injunctive relief. Affected workers were told they'd remain employed until September during a July 6 call, then received termination letters July 17 with just eight weeks' pay and lost health insurance.”
