In the wake of recent mass layoffs, workers at Bethesda Game Studios' Montreal office have reportedly been offered the minimum legally permissible severance pay. This news emerged on July 17th, the same day Xbox announced that Fallout 5 is in preproduction, with remasters of Fallout 3 and Fallout: New Vegas on the way, and that Obsidian Entertainment is working on a new Fallout title.
OneBGS, the union representing Bethesda Game Studios employees, stated via its Bluesky account that dozens of employees across Bethesda Game Studios in the US and Canada were informed of layoffs on July 6th. These affected Canadian employees, who were part of the Fallout and Elder Scrolls teams, were initially told they would remain employed until September while severance terms were negotiated with the union. However, they later received termination letters via email on July 17th.
According to the union, these termination letters indicated that the Canadian workers would receive "eight weeks of pay in lieu of the minimum legal notice," along with outstanding vacation pay. The workers were also informed that their group benefits and health insurance would be immediately terminated.
OneBGS has since filed a legal complaint against Bethesda, alleging violations of Canadian labor law. The union stated, "Bethesda and Xbox leadership depend on our labor to make them millions, and yet when we do, we are disposed of. The cycle of workers paying for the mistakes of management ends here." The union also shared a link to an Xbox Player Voice feedback page, encouraging those dissatisfied with the situation to express their concerns to Microsoft.