Nearly 1,900 Blizzard Entertainment employees have ratified their inaugural union contract with parent company Microsoft, concluding over two years of negotiations. The agreement introduces new protections concerning generative AI, employee crediting, remote work policies, and layoff procedures. It also consolidates Blizzard's several smaller unions into three larger bargaining units for future negotiations.

The newly formed bargaining groups will represent distinct areas within the company. The first unit encompasses World of Warcraft, Blizzard's Quality Assurance (QA) teams, and Hearthstone. The second group comprises the platform and technology teams, customer support and localization, and the story and franchise development team. The third unit includes workers from Diablo and Overwatch. This consolidated contract is set to remain in effect for four to five years, with the expiration date varying slightly among the bargaining groups.

Key provisions within the contract address significant issues currently facing the game development industry. Regarding artificial intelligence, the contract acknowledges the potential utility of AI tools in game development to augment human judgment and creativity, emphasizing that AI-assisted workflows must maintain appropriate human oversight for accuracy and quality. Crucially, any implementation of AI technology that would substantially affect the work of union employees requires prior negotiation with the union.

Beyond AI, the contract mandates that both current and former employees be credited by name in all games they contribute to. It also outlines remote work policies, designating certain roles as hybrid and establishing a procedure for employees to request fully remote positions. A comprehensive section details layoff protocols, requiring a 60-day notice period or equivalent pay, guaranteeing one week of severance pay for every six months of employment, and providing 12 months of recall rights. Furthermore, the contract includes a successorship clause, ensuring its terms would remain binding should Blizzard be acquired by another company.

This agreement marks the fourth union contract Microsoft has finalized with one of its gaming studios. Previously, Microsoft reached similar agreements with ZeniMax QA testers, Raven Software, and Blizzard QA workers. Employees who were part of the earlier Blizzard QA contract will be integrated into this new, comprehensive agreement.