Bethesda staff rally as Xbox layoffs hit Maryland hard

Hundreds of Bethesda Game Studios and Zenimax Online Studios employees, alongside supporters, rallied outside Zenimax’s headquarters in Rockville, Maryland on Thursday, protesting sweeping Xbox layoffs that workers say have gutted development and quality assurance teams.

×

The lunchtime protest took place in nearly 100°F heat and was one of five actions organized by Zenimax Workers United and the Communication Workers of America across Texas, California, and Montreal. Signs in the crowd read “Layoffs… layoffs never change” and “Our players deserve better.”

A central demand from the union is that Microsoft return to the bargaining table with the remaining uncontracted members of Bethesda Game Studios. According to Bethesda technical producer and union volunteer organizer Nathan Hahn, the union had a reduction-in-force proposal on the table for months but says Microsoft did not respond before carrying out layoffs.

Recommended reading

GTA 6 pre-orders hit $180 million in one week

“It’s about us building our movement and making sure that we get seen and we’re visible. Because we want to make sure that we’re not okay with these layoffs and that Xbox knows.”

Microsoft, in a statement to Ars Technica, said it respects employees' right to speak out and had contacted the union on July 6 to begin effects bargaining. The company said it remains focused on supporting affected workers while positioning the business for long-term strength.

What workers say was lost

Former Bethesda AI programmer Jay Woodward, who was laid off last week after nearly 20 years with the company dating back to Fallout 3, said he hopes union pressure can help stop what he called a “perpetual cycle” of cuts at Xbox. Last week, Microsoft CEO Asha Sharma said the layoffs were needed to restructure a business that is “not healthy” and operating at margins well below competitors.

Rockville Mayor Monique Ashton also attended the rally, calling the layoffs worrying for a local economy where game development had been growing.

×

Workers said the impact goes well beyond headcount. Juniper Dowell, a QA tester laid off after five years, said making games like Fallout and The Elder Scrolls with a reduced team would be like “trying to sing with half a choir or a band with a drummer missing.” Dowell said about 100 people were cut last year, and this latest round was even deeper.

System designer Mandy Parker, who was not laid off, rejected the idea that the cuts were mainly about reducing middle management. She told Ars she was not aware of middle managers being cut in her office and said many affected QA workers were already struggling financially.

Union organizers urged fans to show support on the Xbox Player Voice forums, arguing that the people making the games should not be treated as disposable while 1,600 more layoffs are planned across Xbox for the coming fiscal year.