In a move that has sent shockwaves through the gaming industry, French video game giant Ubisoft has announced the closure of its mobile gaming studio in Halifax, Canada. The decision comes merely weeks after the studio's workforce successfully formed a certified union, leading to allegations of union-busting from affected employees.
A Sudden Shutdown Amidst Unionisation
The Halifax studio, which had been operational for over a decade, employed roughly 60 individuals in roles spanning producers, programmers, designers, artists, researchers, and testers. On December 18, these employees voted decisively to unionise under CWA Canada Local 30111, with an overwhelming 74% in favour of the move. The swift announcement of the studio's closure shortly after this democratic process has raised serious questions about the company's motives.
While Ubisoft confirmed the shutdown as part of a broader, 24-month restructuring effort aimed at streamlining operations and reducing costs, it notably declined to provide a timeline showing when the closure decision was actually made. The company stated that 71 positions will be affected and promised support including severance packages and career assistance.
Workers' Response and Legal Implications
The newly unionised workers had previously expressed a vision of partnership in their mission statement. They emphasised unionising to ensure the studio remained a "beacon of equity, excellence, and innovation" in an unstable industry. Jon Huffman, part of the union organising group at Ubisoft Halifax, stated that workers now want the company to prove the closure is unrelated to their recent collective action.
CWA Canada has vowed to "pursue every legal recourse" to protect its members. The union's president, Carmel Smyth, called the news "devastating." Crucially, the union highlighted that under Canadian law, it is illegal for a company to close down because its workers formed a union. While not directly accusing Ubisoft of union-busting, CWA Canada said the timing "raises many questions" and they will be demanding detailed information from the publisher to understand the sudden decision.
Broader Industry Context and Fallout
This incident occurs against a backdrop of widespread layoffs and studio closures across the global video game sector. The Halifax studio's union was part of a growing movement within the industry, with CWA Canada also representing nearly 120 workers at Bethesda Game Studios in Montreal.
The closure leaves a significant hole in Nova Scotia's tech landscape and casts a shadow over labour relations in the gaming world. The affected workers, their union, and industry observers are now watching closely to see if Ubisoft's stated reasons for the closure hold up under scrutiny, or if this becomes a landmark case for workers' rights in the digital entertainment space.
