Ubisoft settles with laid-off Halifax studio workers

Ubisoft has reached a confidential settlement with 61 former employees from its Halifax studio, who unionized before the studio closed. The union members voted overwhelmingly in favor of the deal, as announced by CWA Canada. Developers praised the company for respecting the union during negotiations.

CWA Canada announced earlier this week that 61 union members from Ubisoft Halifax approved the settlement terms. While details remain confidential, affected developers stated that Ubisoft respected the union and negotiated in good faith. Former employee Jon Huffman described the studio closure as a surprise amid ongoing projects on mobile games. He added, “We are extremely grateful to our union for negotiating this package for us.” Ubisoft Halifax, which focused on mobile titles, unionized in December 2025. Weeks later, the company shut down the studio, affecting 71 positions. The move would have made it Ubisoft's first unionized studio in North America. Ubisoft denied any link to union-busting efforts. In a statement at the time, the company explained, “Over the past 24 months, Ubisoft has undertaken company-wide actions to streamline operations, improve efficiency, and reduce costs.” It committed to providing severance packages and career assistance to impacted workers. The settlement comes amid broader cost-cutting at Ubisoft, including layoffs at its Swedish studios and Red Storm Entertainment, home to the Tom Clancy franchise in the United States.

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Delaware judge rules in favor of Unknown Worlds in Subnautica 2 contract dispute against Krafton, reinstating CEO Ted Gill.
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Judge rules Krafton breached contract in Subnautica 2 dispute

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A Delaware judge has ruled that Krafton breached its contract with Unknown Worlds by firing key employees without cause and seizing control of Subnautica 2. The court ordered the reinstatement of CEO Ted Gill with full authority over the studio and its upcoming early access launch. The $250 million earnout period has been extended to September 15, 2026.

Ubisoft has laid off 105 game developers at Red Storm Entertainment, shifting the studio from game development to an IT and Snowdrop engine support role. The North Carolina-based studio, founded in 1996 by Tom Clancy, will no longer make games. The move is part of Ubisoft's ongoing cost-cutting efforts.

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France's leading consumer association, UFC-Que Choisir, has filed a lawsuit against Ubisoft over the 2024 shutdown of the online racing game The Crew. The action alleges that Ubisoft misled consumers about the permanence of their purchases and imposed abusive clauses stripping players of ownership rights. The Stop Killing Games movement has backed the lawsuit.

Three Scottish Labour MPs have accused Grand Theft Auto 6 developer Rockstar of blocking transparency in an ongoing legal dispute over staff dismissals last year. The lawmakers say the company has refused to cooperate with requests for evidence and appeal rights. Rockstar has not responded to requests for comment.

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Chicago-based game studio Iron Galaxy has laid off dozens of employees as it adapts to changes in the gaming industry. The announcement follows the release of the Tony Hawk’s Pro Skater 3 + 4 remaster collection. A source indicated the cuts could affect up to 90 staff members.

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